Bollinger Bands suggest Bitcoin bottom can’t fall under $55K
An analyst suggests Bitcoin's worst-case bottom is $55K, based on Bollinger Bands, dismissing deeper $35K predictions.Summary
A crypto analyst named "Sykodelic" argues that Bitcoin's maximum pain point this cycle will be around $55,000, contrary to some predictions of a plunge to $35,000. The analyst bases this on the Bollinger Bands indicator on the monthly timeframe, noting that Bitcoin has historically never closed below the lower band. They contend that the current cycle's expansion, measured by the Relative Strength Index (RSI), was weaker than previous cycles, making a deeper 75% contraction unlikely. If the monthly candle closes below the mid-Bollinger Band, $55K represents the absolute worst-case scenario.
Other analysts offer slightly more optimistic views; Jeff Ko of CoinEx suggests a correction down to $65,000 to $68,000 is more likely, citing increased institutionalization and ETF participation which should lead to shallower corrections.
Conversely, Augustine Fan of SignalPlus warned that a breakdown below the significant support zone of $72,000 to $75,000 could trigger catastrophic stop-losses with unknown consequences.
(Source：Cointelegraph)