Bitcoin Price Signals Bullish Divergence: Breakout Incoming?

Key Insights:

• Bitcoin price is showing a bullish divergence, suggesting an incoming price breakout.
• Per expert projections, the price of BTC may find the next support at $91,840.
• Beyond the market trends, BTC has an optimistic outlook in September.

Market analysts say Bitcoin (BTC) has shown a bullish divergence in the 4-hour price chart. This trend points towards a strong breakout for the leading cryptocurrency after days of witnessing bearish prices.

Still, there are key BTC support levels to watch out for before a possible breakout. Moreover, September is historically BTC’s worst month, but things look different in 2025.

Bitcoin Price Bullish Divergence Outlook

An analyst known as Merlijn the Trader on X noted that the Bitcoin chart is screaming bullish divergence. According to the analyst, the BTC price has formed lower lows, while the Relative Strength Index (RSI) showed higher lows.

This suggests that the downward price momentum is weakening. A bullish divergence signals that the market may be nearing a turning point, even though prices are dropping.

The higher lows of the RSI suggest that the selling intensity is decreasing, hinting at a potential reversal or rally. Whale investors often see this as a buy signal, while retailers panic, according to Merlijn the Trader.

Retail investors often panic during price declines, selling their holdings out of fear. This creates a trap where prices drop further due to mass selling. Whales, on the other hand, see the mass selling as an opportunity to buy at lower prices.

Consequently, they accumulate Bitcoin when retail investors are exiting the market. MerlijnTrader explained that the next candle that matters will not position in the red zone. This aligns with the bullish divergence and suggests that the price is about to reverse upward.

According to CoinMarketCap data, BTC is currently priced at $108,622. The leading coin has increased slightly by 0.25% over the previous day. However, the daily trading volume is down 10.7% to $63.6 Billion.

Key Bitcoin Support to Watch Before Breakout

Ali Martinez highlighted $91,840 as the next major support, according to the MVRV Extreme Deviation Pricing Bands. Martinez noted that BTC has broken above the $113,340 resistance level. This resistance has prevented further upward movement.

Thus, buyers will likely step in if Bitcoin falls to $91,840. Support levels are price points where buying interest is expected to prevent further declines. Based on Martiez’s sentiments, BTC is expected to climb higher if the $91,840 support holds.

Meanwhile, the analyst previously highlighted that BTC formed a death cross on the weekly MACD. Such a pattern indicated sudden drops and suggested increased downside risks. Historic crosses have been followed by 17% and 27% drawdowns.

Martinez added that the Bitcoin price has slipped below its established trading channel. Such a structural failure indicates further weaknesses and provides downside targets of $106,000 and $100,000.

September BTC Review

Nic Puckrin, CEO of Coin Bureau, pointed out a seasonal trend in Bitcoin’s performance. Historically, September has been its weakest month.

Data shows consistent underperformance during this period over the years. According to data from Cryptorank, September carries an average negative return of 5.58% and a median of 4.43% for BTC.

In the last 10 years, BTC has only traded four times in green. This pattern is not unique to Bitcoin; traditional markets like stocks also see September weakness. The bearish September trend usually follows pullbacks seen in August.

However, Nic believes September 2025 might show a different trend. He noted that the macro environment in 2025 is fundamentally altered from past cycles, potentially neutralizing the historical September curse.

Nic spotlighted key trends like Bitcoin hitting a record high of $124,000, corporate treasuries accumulation, and money supply climbing.

Other positive 2025 trends include ETFs surging inflows, a possible September rate cut, and a pro-crypto regulatory U.S. administration. Nic believes the factors would create a perfect storm for BTC upside in September 2025.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.