4 hour divergence time frame
2024-12-31
Category: None

1. Volume Analysis:
Volume:
It is observed that the volume has increased at some points near the support (purple box).
The recent bullish candlestick was accompanied by an increase in volume, indicating that buyers entered near the support level.
This is a positive sign for the possibility of a price reversal.
2. RSI and Price Divergence:
Price:
is still forming lower lows.
RSI:
It appears to be forming higher lows.
This classic bullish divergence indicates that the momentum of sellers has decreased and the power of buyers is increasing.
3. MACD and Price Divergence:
Price:
It is still forming lower lows.
MACD:
The MACD line (blue) is approaching the signal line (orange) and the histogram is getting smaller.
This indicates that the selling pressure has decreased and there is a possibility of a bullish crossover in the MACD, which will be further confirmation of a price reversal.
4. Bollinger Bands Status:
Price is near the lower Bollinger Band.
This could indicate oversold conditions.
If the price bounces off the lower band and breaks the middle band (moving average), it will be a confirmation of the bullish trend.
Conclusion and Trading Recommendation:
Trading Volume: Increasing volume near support is a positive sign.
RSI and MACD divergence: Both indicate a possible bullish reversal.
Entry Strategy:
Enter a long trade if the downtrend line breaks or the price consolidates above the middle Bollinger Band.
Stop Loss: Below 92,000 USDT (support floor).
Goals:
First target: Upper Bollinger Band.
Second target: 96,000 - 97,000 USDT.