Bitcoin’s popular volatility indicators are signaling a coming giant price rise, with the potential for BTC to reach $190,000 in September.
Hold on tight!
New analysis from Julien Bittel, head of macro research at Global Macro Investor shared that Bitcoin’s current Bollinger Bands volatility indicator is extremely tight.
#Bitcoin Bollinger Bands are crazy tight by historical standards.
Only two other months in history have we seen the weekly Bollinger Bands so compressed: April 2016 and July 2023.
During both of the previous episodes, Bitcoin prices rose significantly over the following twelve… pic.twitter.com/hBb8d73SGc
— Julien Bittel, CFA (@BittelJulien) July 19, 2024
Bittel noted that only twice in Bitcoin’s history have the weekly Bollinger Bands been so compressed, which was in April 2016 and July 2023.
This tightness in the bands often precedes a pretty significant price movement, and now, it’s possible we might see one again.
Bittel explained that during the previous times the bands were this tight, Bitcoin prices rose dramatically over the following year. He predicts that if a similar pattern occurs now, Bitcoin could see prices ranging from $140,000 to $190,000.
Not the first time
Historically, when Bitcoin’s Bollinger Bands was this compressed, it led to major price increases.
This trend was also seen in late 2023, just before the launch of the United States spot Bitcoin exchange-traded funds, when the bands also indicated a big price rise.
Bittel has previously made similar forecasts, urging patience during the deepest price drawdowns of the bull market.
His latest analysis aligns with these earlier predictions, suggesting that Bitcoin is on the verge of another price increase in the coming months.
Back to the future
As of now, Bitcoin’s price stands at around $64,000, an 11% increase over the past week.
While trader confidence is growing and price metrics suggest the bull market is continuing, but some experts believe it might not be the right time for a major breakout yet.
But there is a missing element in the current market, the mainstream retail investor interest, which contrasts with the accumulation behavior of institutions and large holders.
Popular trader Rekt Capital pointed out that, based on past bullish cycles, a huge Bitcoin breakout could occur in September this year.
If history repeats, a Bitcoin breakout from the Re-Accumulation Range would occur in September 2024$BTC #Crypto #Bitcoin pic.twitter.com/PjhsyNt5kr
— Rekt Capital (@rektcapital) July 18, 2024
