Bitcoin’s monthly relative strength index (RSI) is rebounding from its 2026 low range, showing signs that long-term momentum is coming back to life.

On Aug. 25 (local time), The Crypto Basic, a blockchain media outlet, reported that Bitcoin’s monthly RSI was around 54 as of Aug. 24. That was above the five-month average of 47.

The rebound is also emerging alongside a price recovery. During the period when Bitcoin’s 2026 decline deepened, its RSI fell to the mid-40s. The price also slid from around $97,860 to $57,700 in July, a drop of 40.99 percent. Bitcoin later rose as high as $87,265 at one point this week, rebounding 51 percent from the July low.

Bitcoin analyst PlanB shared a Block Horizon chart and pointed out that "Bitcoin’s flow is strengthening." The monthly RSI moving back above 50 leads to an interpretation that Bitcoin’s upward momentum is recovering. Still, the RSI remains below 70, which is seen as an overheating zone.

Compared with past moves, the current reading is still near a neutral range. On charts, major peaks were generally formed when the RSI was above 85, and during phases of sharp corrections a pattern repeatedly emerged in which it slipped below 50. In particular, when Bitcoin hit a high of $126,200 in 2025, the RSI failed to top 80 as in the previous bull market and turned down in the mid-70s. By contrast, in this downturn the RSI fell below 50, similar to past bear-market lows.

Markets are focusing on the possibility of a resumption of bullishness. Based on CoinMarketCap, Bitcoin was at about $84,580, up about 1.5 percent over 24 hours and about 8 percent over the past week. On social media, responses mentioning a bull market resumption are also increasing. X (formerly Twitter) user Riley Coleman, taking aim at some bearish views, said, "No matter what the bears say, math is not swayed by emotions," adding that Bitcoin’s market structure is getting stronger.

Technical indicators other than RSI are also showing rebound signals. The Supertrend indicator has switched back to green around $84,000. The indicator points to a trend based on price and volatility, and green indicates an uptrend. A previous green signal emerged around $16,000 in 2023 and was maintained for about three years, overlapping with a move in which Bitcoin rose about 700 percent to $120,000. This time, it has turned green again after rebounding about 51 percent from the July low of $57,700.

Along with that, Bitcoin has moved back above the 365-day moving average of about $83,000 and the 50-week moving average. The next key technical resistance is the two-year moving average of about $88,761, and momentum could strengthen if it settles in that zone. But technical indicators alone do not guarantee future gains.

Ultimately, the market’s next focus is whether the monthly RSI rises further and provides more confirmation of long-term upward momentum. Conversely, if the RSI slips below 50 again, bearish signals could come back into focus. Current indicators show Bitcoin is reversing its trend after the sharp July drop, but it is still far from the overheating phase seen near past highs.