Technical analysis by ScottMelker about Symbol BTC on 5/19/2025

Yesterday’s daily and weekly candle closes were the highest in Bitcoin’s history – a strong bullish technical signal in theory. But almost immediately after the close, price reversed sharply, casting doubt on the breakout above $106,000.More importantly, we’re seeing a potential bearish divergence developing. Price made a higher high, while RSI printed a lower high and is now dropping out of overbought territory. This divergence is confirmed across all lower time frames and is even forming on the weekly, though that still needs confirmation.Adding to the concern – the move up occurred on low Sunday volume, which always raises an eyebrow. The broader market also feels euphoric, but this is happening in an environment where macro uncertainty still looms large.This could be a fakeout above resistance, and caution is warranted here. A confirmed breakdown back into the prior range would shift the short-term bias to bearish.Stay sharp – signals are starting to flash yellow.