U.Today – could face a double rise in the market, according to Bollinger Bands. In the best case scenario, $190,000 will be the new ATH for the digital currency. However, in addition to the technical state of the asset, the overall trend in the market is also important.
Bollinger Bands are at historically low levels. Only in April 2016 and July 2023 have we seen this compression. In each case, over the next 12 months, Bitcoin prices rose dramatically. Bitcoin may reach between $140,000 and $190,000 in less than a year if this pattern continues.
We see a narrow Bollinger Bands pattern causing significant price movements when we analyze the data in the screenshots provided to us. The compression seen in the first chart is comparable to that of 2016 and 2023. This implies that there could be a lot of price movement in the coming months.
Bitcoin's value increased dramatically in 2016, and a similar pattern was observed after July 2023. These trends lend credibility to the prospect of a significant price increase. Still, there are more important factors than technical indicators.
External factors and the overall market mood will influence Bitcoin's potential rise. The “boring zone” highlighted on the chart, or a period of little price movement, usually appears before the “banana zone,” when volatility spikes.
With the state of the market, the recent fluctuations in Bitcoin’s price, and past performance, it is possible that the cryptocurrency could rise to unprecedented levels. This may be the calm before the storm despite the sluggish market performance in the second quarter. Bitcoin could rise to $140,000 or even $190,000 as a result of the strong price movement indicated by the narrow Bollinger Bands.
This article was originally published on U.Today
