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Visual example: Bitcoin makes lower low while Ethereum makes higher low at key zone.

From The Truth About SMT Divergence in Your Trading Model · jumps to 2:12 · speech

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And maybe we have our key zone here. Bitcoin trades into this key zone and makes a new low. Ethereum has a confluent key zone. And as it comes into its key zone, it doesn't make a lower low. This is an SMT divergence. You can see Bitcoin made a lower low here. Ethereum made a higher low. Let's just label these. This is an SMT divergence, okay? So when correlated assets stop confirming each other's swing points at a key level, there's the potential for an SMT divergence. This obviously would be the inverse on the way up. Bitcoin makes a higher high.
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