A bearish divergence on the 4-hour chart signals weakening buying pressure and suggests a correction toward $72,000–$74,000
Too little corroboration in the last 3 days to call a trend (1 article). Watching for it to gain traction.
A bearish divergence on the 4-hour chart signals weakening buying pressure despite price strength, with technical analysts identifying $72,000–$74,000 as a likely correction target. Sources interpret divergences between price and momentum indicators as evidence that rallies are losing underlying support.
Bearish divergences on intraday timeframes often precede mean-reversion moves that shake out overleveraged longs and reset positioning. When these patterns form, they create tactical opportunities for traders to rebalance and can influence whether a rally extends or reverses, affecting short-term capital flows.
"Ted Pillows said in an Aug. 25 X post that Bitcoin had developed a bearish divergence on the 4-hour chart. The analyst identified $72,000–$74,000 as a possible correction area following the sharp rally."