BTC continues sliding, extremely oversold may trigger a rally

Bitcoin technical picture looks very way too oversold at the moment with RSI in 4H chart dropping below 20 again and forming a divergence, indicating significant overselling. On the surface, the price debacle is said to be associated with the recent government crackdown on cryptocurrencies in China.

horizontal support 1: 6250
horizontal support 2: 5600

On the path of drifting down, many retail investors are inclined to buying the dip, causing the selling force to intensify after the longs suffer losses as the market continues grinding down and these retail investors switch to selling side.