Bitcoin has reached an all-time high, yet experts' analyses raise caution. The article explores potential signals of a bearish reversal.
TD Sequential Signals and Bearish RSI Divergence
The analysis points to the 9th TD Sell Candle from Tom DeMark’s indicator, a signal traditionally indicating the end of an upward trend. The bearish RSI divergence further supports the likelihood of a reversal as price hits new highs while the indicator shows decline.
Market Structure Analysis
A rising wedge formation is also considered a potential bearish signal. Historical data suggests a 65% probability of a downward move. This formation emerges within the context of high prices, raising questions about whether newcomers are caught in market traps.
Tension Between Trader Optimism and Caution
While some traders report significant profits, like @Baarut_ with a 7.58R return, @CryptoFaibik advocates for a more cautious approach. Concerns about a potential bearish reversal highlight the need for sound risk management.
The situation in the Bitcoin market remains tense. Combining various indicators and analyses will help traders navigate the rapidly changing environment.
