Bitcoin, the main cryptocurrency, has rebounded this week, rising above $65,000. Whereas this restoration is a lifeline for traders, in line with an indicator, the BTC worth could expertise an enormous explosion.
A brand new evaluation by Julien Bittel, head of macro analysis at monetary advisory agency International Macro Investor, reveals that the BTC worth might rise as excessive as $190,000.
At this level, the analyst who analyzed the Bollinger Bands stated that the Bollinger Bands have narrowed and point out that volatility will improve in BTC within the close to future.
In accordance with the analyst, if historical past repeats itself, Bitcoin may have the gasoline to achieve all-time highs of six figures and the Bitcoin worth might rise to the $140,000 to $190,000 vary.
In different phrases, in line with the analyst, Bollinger Bands have narrowed and sign excessive volatility. This can be an indication that Bitcoin could rise additional.
Declaring that traditionally it’s uncommon for Bollinger bands to be this slender on the weekly chart, the analyst stated that that is at all times excellent news for bulls.
“Bitcoin Bollinger Bands are fairly tight and slender in line with historic knowledge.
We’ve solely seen weekly Bollinger Bands compressed this a lot in two months in historical past: April 2016 and July 2023.
Each earlier occasions, Bitcoin costs rose considerably within the twelve months following the month of this squeeze.
If historical past repeats itself this time for BTC, the Bitcoin worth could rise to the vary of $140,000 to $190,000.
Granted, crypto markets have been fairly sluggish within the second quarter, however now isn’t the time to get complacent.
That is the Boring Zone…
Subsequent up is the Banana Zone…”
The banana area is commonly known as the area the place Bitcoin and cryptocurrency costs are on the rise.
#Bitcoin Bollinger Bands are loopy tight by historic requirements.
Solely two different months in historical past have we seen the weekly Bollinger Bands so compressed: April 2016 and July 2023.
Throughout each of the earlier episodes, Bitcoin costs rose considerably over the next twelve… pic.twitter.com/hBb8d73SGc
— Julien Bittel, CFA (@BittelJulien) July 19, 2024
*This isn’t funding recommendation.