BTC Monthly Analysis – Caution Ahead?
🔺 Chart Observations
Rejection Candle & Inside Bar Pattern
The latest monthly candle shows a strong upper wick (rejection) followed by an inside bar, signaling indecision and a possible pause or reversal.
These patterns often precede a trend shift, especially at key resistance levels.
Decreasing Volume
Volume has been steadily declining since the recent highs.
A falling volume in an uptrend is typically a bearish sign, suggesting buyers are losing strength and distribution may be occurring.
Bearish Divergence on RSI
While price made a higher high, RSI made a lower high.
This classic bearish divergence signals fading momentum and often precedes major corrections.
MACD Losing Momentum
The histogram is fading, and momentum is starting to decline.
This early signal may lead to a MACD bearish crossover if weakness continues.
📉 Bearish Confluence Summary
IndicatorSignalCandle StructureRejection + Inside BarVolumeDecreasingRSIBearish DivergenceMACDMomentum FadingEMARetest of 50 EMA Likely
📌 Conclusion
Bitcoin is flashing multiple bearish signals on the monthly chart.
While macro remains bullish long-term, short-term correction risk is rising.
🧊 Caution is key — especially with altcoins, as BTC corrections often lead to heavy drawdowns across the market.