Divergence → A reliable bottom signal Here's a quick case s
CryptosBatman
Updated at: 5 hours ago
{"content":"Divergence → A reliable bottom signal
Here's a quick case study that I think is both interesting and insightful.
As most of you know, I love using divergence. But the real question is, how well does it actually work historically? Let’s take a look.
The two most significant bottoms for Bitcoin in the past year were both marked by a bullish divergence between BTC and the Stochastic indicator.
So, what exactly is a divergence? It occurs when price and an indicator move in opposite directions. For example, when price keeps falling but the Stochastic starts climbing, that's a bullish divergence. It signals that downside momentum is weakening and a reversal may be near.
We saw this clearly in August 2024 and again in March 2025. Price was bleeding, but the Stochastic held strong. And we all saw what came next.
So when you spot a bullish divergence, especially on a high timeframe, get ready, a reversal is brewing.","images":["https://d2kdcqywr8ua22.cloudfront.net/uploadfile/article/blog/2025072025/07/09/05a164b7614078c51d4747999033eae6.jpg"],"tags":[],"tradingPairs":["BTC/USDT"],"quotearticleid":0}