If you've been following the crypto markets lately, you might have noticed things getting a bit shaky. Bitcoin, the king of cryptocurrencies, has seen its weekly Relative Strength Index (RSI) drop to 36—a level that's only happened five times before in its history. Each of those instances was tied to some pretty serious market turmoil. So, what's going on this time? Let's break it down based on a recent thread from crypto analyst Dread Bongo on X.

First off, what's RSI? It's a technical indicator that measures the speed and change of price movements, basically telling us if an asset is overbought (too hot) or oversold (too cold). On a weekly chart, hitting 36 suggests Bitcoin is in oversold territory, which historically has been a signal that we're nearing a bottom rather than a top.

Looking back, every time this happened, it was linked to big events:

• September 2014: Right after the infamous Mt. Gox collapse, where over 500,000 BTC were stolen. Add in pressures from China cracking down on crypto, and it was a rough period.

• January 2015: A security breach at Bitstamp, a major exchange at the time, led to suspended operations and frozen accounts, piling on to the bear market woes from the previous year.

• December 2018: The depths of the "crypto winter" after the 2017 bull run. Bans on ICO ads, trading restrictions in South Korea, and a massive hack at Coincheck for $530 million—all culminating in a 50% price drop in a month.

• March 2020: The COVID-19 pandemic hit, with the WHO declaring a global emergency. Crypto got hammered, Bitcoin halved in price, and even stock markets triggered circuit breakers.

• May 2022: The Terra Luna implosion sparked a chain reaction, taking down big players like Three Arrows Capital, Voyager, Celsius, and eventually FTX. Throw in high inflation and the Russia-Ukraine conflict, and it was chaos.

Now, we're at the sixth occurrence. Dread Bongo argues it's not just old-school whales dumping their holdings—there are plenty of buyers ready to scoop up Bitcoin. Instead, he points to the massive liquidation event on October 10th, where $19 billion (or more) in leveraged positions got wiped out. Exchanges like Binance saw stablecoin depegging, causing pricing glitches and a cascade of liquidations. This might be brewing some hidden contagion among market makers, only becoming clear now.

For meme token enthusiasts, this Bitcoin dip could ripple through the entire crypto ecosystem. Meme coins often follow BTC's lead, so an oversold signal like this might mean we're close to a rebound, offering buying opportunities in volatile assets. But remember, history shows these moments come with real pain—contagion can spread fast.

While no one has a crystal ball, the pattern suggests we're nearer to a market bottom. If you're in the space, keep an eye on developments and maybe check out the original thread for more details. Stay informed, and as always, DYOR—do your own research—before making moves in this wild market.