Bitcoin is currently trading within a defined range under macro resistance. The chart shows price stalling below a key supply zone, with rejection from the upper Keltner Channel and diagonal resistance (yellow trendline). A local bearish divergence appears to be playing out as momentum fades.
Short Position Setup:
Entry: $119,275 (supply retest)
Stop Loss: Above local high / top channel boundary
Targets:
TP1: $117,163 (38.2% Fib)
TP2: $115,858 (61.8% Fib)
TP3: $113,746 (full measured move)
Confluence:
Bearish rejection near multi-touch trendline resistance
Lower high formation after extended consolidation
Heikin Ashi candles showing loss of bullish momentum
Watch for: Breakdown of the white trendline support to confirm momentum shift. Invalidation if BTC closes strongly above $120,000.
Timeframe: 4H | Strategy: Range Reversal + Fib Confluence