Bitcoin Tagging the Lower Monthly Bollinger Band Would Be a Logical Place to Put a Bottom, says John Bollinger – Ethereum World News

Summary:

The creator of the popular technical analysis indicator of Bollinger Bands, John Bollinger, has pointed out that Bitcoin has formed a perfect double top on the monthly chart. In addition, Bitcoin seems to be ready to tag the lower boundary of the monthly Bollinger Band. According to Mr. Bollinger, such an event could signal the possibility of a bottom.

Mr. Bollinger shared his Bitcoin insights through the following statement and accompanying chart.

Picture perfect double (M-type) top in BTCUSD on the monthly chart complete with confirmation by BandWidth and %b leads to a tag of the lower Bollinger Band. No sign of one yet, but this would be a logical place to put in a bottom.

In a similar analysis, popular Bitcoin and crypto analyst, MagicPoopCannon, has pointed out that Bitcoins weekly RSI is more oversold now than ever before. Magic shared his insights through a tweet that can be found below, which also pointed out that the RSI could continue becoming even more oversold given the current market conditions.

However, Magic emphasized the need to remain open to the possibility of a bottom with Bitcoin hitting the recent low of around $17,600.

In a follow-up Tweet, Magic expanded on his analysis that Bitcoin has hit a bottom. He explained that data suggests it might be in. Therefore, being open to its possibility is one approach, and awareness of the potential of Bitcoins price deteriorating is also recommended. He said:

While I am VERY SCPETICAL of a bottom, I see the data that suggests it could be imminent, so I must remain open to it.

As the data improves, more capital can be deployed. If it begins to deteriorate, capital deployment can be halted and/or retracted in defense.

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Bitcoin Tagging the Lower Monthly Bollinger Band Would Be a Logical Place to Put a Bottom, says John Bollinger - Ethereum World News