Bitcoin is losing its bullish momentum: Is a drop to $115K next?
Bitcoin may face a short-term dip as a bearish divergence, CME gap, and a high IBCI reading point to downside below $115,000.
Key takeaways:
A hidden bearish divergence on the RSI hints at weakening bullish momentum for Bitcoin.
A CME gap between $114,000–$115,000 could act as a magnet.
Market cyclicality and an assortment of indicators show Bitcoin in a distribution zoneBitcoin
BTC
$117,377
is showing signs of potential weakness, with three critical charts suggesting the possibility of new weekly lows in July. While the long-term trend remains intact, traders should brace for short-term volatility.
Bitcoin currently exhibits a hidden bearish divergence between its price and the relative strength index (RSI), a momentum indicator that measures the strength of price movements.
A hidden bearish divergence occurs when the price makes higher highs, but the RSI forms equal or lower highs. This divergence hints at weakening momentum behind the rally, often leading to downside corrections.
