Bitcoin (BTC/USD) chart analysis

#### **1. Chart Overview**
- **Symbol**: Bitcoin (BTC/USD) on the Coinbase exchange.
- **Timeframe**: 15-minute chart using Heikin Ashi candles.
- **Key Indicators**:
- ATR Trailing Stops.
- Volume.
- MACD.
- RSI.
- **Additional Elements**: Horizontal support/resistance levels, divergence patterns.


#### **2. Key Chart Feature and Pattern Observations**
- **Trend**:
- A downtrend was visible during the earlier session with a series of red Heikin Ashi candles.
- A potential reversal is forming, indicated by smaller candles followed by green Heikin Ashi candles.
- **Divergence**:
- Bullish divergence is present between the price, the MACD histogram, and the RSI. This signals a possible upward movement.
- **Support and Resistance**:
- Resistance near **105,331.50**.
- Current price stabilizing near **101,565.39** with support at **98,698.56**.
- **Volume**:
- Decreasing during the downtrend and showing a slight pickup in the recovery phase, suggesting weak selling pressure.


#### **3. Indicator Analysis**
- **ATR Trailing Stops**:
- Red dots above the candles indicate bearish momentum. A potential flip to green could confirm bullish momentum.

- **Volume**:
- Volume is relatively low during the decline, suggesting that the downtrend may lack strong conviction.

- **MACD**:
- The MACD histogram shows bullish divergence as it begins to move closer to the zero line. This is a positive signal for potential upward momentum.

- **RSI**:
- RSI is currently at **65.55**, moving upward after showing bullish divergence near the oversold level (~30). This confirms improving momentum.


#### **4. Key Levels**
- **Resistance**:
- **105,331.50** (major resistance from previous highs).
- **104,984.01** (intermediate resistance).
- **Support**:
- **101,565.39** (current price support).
- **100,073.34** (critical support level to watch).
- **98,698.56** (major support from the bottom wick).

#### **5. Overall Summary**
- The chart shows a **downtrend followed by a consolidation phase**. A reversal could be imminent, supported by bullish divergence on both the MACD and RSI.
- Key resistance levels must be broken to confirm the uptrend. The price must hold above support levels to sustain bullish momentum.


#### **6. Trading Strategy**
- **For Buyers**:
- Look for a breakout above **104,984.01** with strong volume to confirm a bullish continuation.
- Use the ATR trailing stop as a guide for setting a trailing stop-loss.

- **For Sellers**:
- Watch for rejection near **105,331.50** to consider short positions with a target near the support levels of **100,073.34** or **98,698.56**.

- **Stop Loss**:
- Buyers: Place stops loss below **101,565.39**.
- Sellers: Place stop loss above **105,331.50**.


#### **7. Conclusion**
The presence of bullish divergence and improving momentum on indicators like MACD and RSI suggests that the price could see an upward movement. However, confirmation through volume and resistance breakouts is essential for confident entries. Traders should remain cautious and monitor key levels for validation.