1 week ago
Bitcoin (BTC) is exhibiting acquainted “bottom” behaviour astatine existent prices, according to 1 of its best-known starring indicators.
In an X post connected April 10, John Bollinger, creator of the Bollinger bands volatility metric, revealed bully quality successful advancement for Bitcoin bulls.
Bollinger bands %b metric teases BTC terms comeback
Bitcoin whitethorn already beryllium establishing a semipermanent bottom, the latest Bollinger bands information suggests.
Analyzing play timeframes, Bollinger himself drew attraction to 1 of his proprietary indicators, known arsenic “%b,” which offers further clues astir marketplace inclination reversals.
%b measures an asset’s closing terms comparative to Bollinger set position, employing modular deviation astir a 20-period elemental moving mean (SMA).
Among its insights is the “W” bottommost formation, wherever a archetypal debased beneath zero is followed by a higher debased retest aboriginal — thing that could present beryllium successful play for BTC/USD.
Bollinger confirmed to X followers:
“Classic Bollinger Band W bottommost mounting up successful $BTCUSD. Sill needs confirmation.”
BTC/USD 1-week illustration with Bollinger bands data. Source: John Bollinger/X
On some play and regular timeframes, Bollinger bands amusement nary inclination displacement has taken spot yet.
Data from Cointelegraph Markets Pro and TradingView shows that the regular illustration continues to locomotion down the little band, with the mediate SMA acting arsenic resistance.
BTC/USD 1-day illustration with Bollinger bands data. Source: Cointelegraph/TradingView
Turning to stocks, with which BTC/USD has go expanding correlated, Jurrien Timmer, manager of planetary macro astatine Fidelity Investments, drew akin conclusions.
“Revisiting the Bollinger Bands, we person gone from 2 modular deviations above-trend to on-trend to present astir 2 modular deviations below-trend,” helium noted astir the S&P 500 connected April 9.
“Again, oversold but not astatine an historical extreme.”Bitcoin bounce whitethorn travel 10% Nasdaq plunge
As Cointelegraph continues to report, BTC terms bottommost targets progressively halfway astir the $70,000 mark.
That level is important for respective reasons, including arsenic a intelligence obstruction and its presumption arsenic a liquidity magnet.
Network economist Timothy Peterson, whose Lowest Price Forward metric antecedently offered 95% odds that $69,000 would enactment intact arsenic support, present sees Bitcoin reversing lone aft stocks find their ain floor.
“Bitcoin led NASDAQ connected this decline. As the plus perceived to beryllium astatine the apical of the hazard pyramid, I would expect NASDAQ to rally first, and past Bitcoin. Just thing to look for,” helium revealed this week.
“But I deliberation NASDAQ has different -10% to fall.”
Bitcoin vs. Nasdaq comparison. Source: Timothy Peterson/X
This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.
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