Technical analysis by ScottMelker about Symbol BTC on 5/21/2025

Bitcoin remains perched near the recent highs but continues to show signs of exhaustion. We now have a confirmed bearish divergence on the daily RSI - price made a new high while momentum failed to follow through. That kind of signal, especially coming out of overbought territory, typically warrants caution.So far, Bitcoin has held above the key $106,159 level, but the divergence plus fading volume suggest that bulls are losing steam. It’s worth noting that each daily candle since the high has had a long upper wick, implying sellers are stepping in on every push higher.Technically, as long as Bitcoin remains above $99,517 - the prior breakout level - the structure is still bullish. But the divergence, coupled with a possible fake out above resistance and weekend euphoria, leaves room for a pullback. If we do see a correction, $99,517 and $92,817 are the levels to watch.Bottom line: price is still trending up, but momentum is slowing. Time to tighten stops and manage risk carefully - especially as sentiment appears to be running ahead of the market.