Impact of Hammer + Bullish Divergence

When a Hammer candle forms along with bullish divergence, it strongly signals a potential trend reversal to the upside:

Hammer shows buyers are stepping in after strong selling.

Bullish divergence (e.g., RSI making higher lows while price makes lower lows) signals weakening bearish momentum.

Together, they suggest high probability of a bounce or reversal, especially near support zones.

Traders often enter at the break of the Hammer's high with stop-loss below its low.

This combo is a powerful confluence for catching bottoms in crypto like BTC or altcoins.