Over the past week, Bitcoin has found itself flatlining, establishing a tight range in the low-$7,000s as volume tapers off. This consolidation has forced the Bollinger Bands, a moving average-based technical analysis tool often used by traders looking for more information about trading ranges and volatility, for Bitcoin to reach extremely tight levels, implying that volatility is on the horizon.<\/p>\n
Per previous reports from NewsBTC,<\/a> John Bollinger, the creator of the tool, has even gone as far as to say that it’s “time to pay attention” to cryptocurrencies, as the Bands imply that they’re nearing “squeeze levels.”<\/p>\n Josh Olszewicz, an analyst at industry research and media site Brave New Coin, recently noted<\/a> that the last time the one-day Bollinger Bands on the Bitcoin chart were this tight, the eventual resolution of all moves always resulted in 20%+ price swings.\u00a0 Case in point, BTC saw a 30% gain to tap $10,000 at the end of October, which is the last time that the Bollinger Bands exhibited such consolidatory behavior.<\/p>\n 1D $BTC<\/a> @bbands<\/a> only this tight a few times over the past year<\/p>\n currently w\/bearish forecast<\/p>\n price > 7300 would be above 20SMA which would flip sentiment bull<\/p>\n eventual resolution of all moves of this caliber have resulted in initial 20%+ price swing pic.twitter.com\/VorbN1XpjJ<\/a><\/p>\n — #333kByJuly2025 (@CarpeNoctom) December 14, 2019<\/a><\/p><\/blockquote>\n\n