{"id":528037,"date":"2023-04-21T20:04:09","date_gmt":"2023-04-21T20:04:09","guid":{"rendered":"https:\/\/wncen.com\/?p=528037"},"modified":"2024-06-11T08:10:48","modified_gmt":"2024-06-11T08:10:48","slug":"time-to-pay-attention-bitcoin-reaches-logical-level","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/time-to-pay-attention-bitcoin-reaches-logical-level\/","title":{"rendered":"Time To Pay Attention: Bitcoin Reaches “Logical” Level"},"content":{"rendered":"

Bitcoin price is experiencing one of its more significant corrections since the trend began to change directions.\u00a0<\/span><\/p>\n

According to the creator of the Bollinger Bands, it\u2019s once again \u201ctime to pay attention\u201d \u2014 this time because BTCUSD has pulled back to a \u201clogical\u201d level.\u00a0<\/span><\/p>\n

Bitcoin Begins Pullback To Logical Level<\/h2>\n

Bitcoin reached almost double from current bear market lows, nearly convincing the crypto community a new bullish trend had begun. With BTCUSD now down more than 10% from local highs, fear is already back on the air in a major way.\u00a0<\/span><\/p>\n

Bulls are now all but silent, after just recently declaring the bull market has returned. Bears are already celebrating the correction as continuation of the bearish trend getting underway.<\/p>\n

Related Reading: Brace Yourself: The Most Explosive Move In Bitcoin In Years Has Begun<\/a><\/div>\n

More tactical technicians, like John Bollinger, simply believe it\u2019s \u201ctime to pay attention,\u201d and haven\u2019t yet taken a side. The quote has become a bit of a catchphrase for the creator of the Bollinger Bands. But what exactly is he talking about?<\/p>\n

\"BTCUSD_2023-04-21_15-33-50\"<\/p>\n

The creator of the Bollinger Bands has spoken | BTCUSD on TradingView.com<\/a><\/pre>\n
All About The Bollinger Bands<\/h2>\n
The Bollinger Bands<\/a> are a volatility measuring tool. The tool\u2019s creator recently pointed out an expansion after a lengthy phase or narrowing. This behavior is referred to as a \u201csqueeze\u201d and suggests an uptick in volatility is ahead. Which is precisely what we are witnessing now.\u00a0<\/span><\/p>\n
Volatility is the measure of price dispersion across a timeframe, and after very little movement, BTCUSD is like a rollercoaster once again. Ups and downs are par for the course.<\/p>\n
Related Reading: This \u201cSuper\u201d Bitcoin Technical Tool Says Limited Resistance Remains\u00a0<\/a><\/div>\n
The Bollinger Bands are made up of a 20-period simple moving average (SMA), to where price pulled back to and has now broken below. The upper and lower bands are set at two standard deviations of the SMA.<\/p>\n
The next logical level to look for support would be the lower band, located at around $27,000. Once Bitcoin hits the level it could continue downward with strength or snap back to the top of the band.\u00a0<\/span><\/p>\n
One thing is for sure, the tool predicting volatility was accurate. Now it\u2019s time to pay attention.<\/p>\n
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As a journalist I often cover the greatest calls by the best in the biz. <\/p>\n
As a trader, I never forget the corresponding price action, allowing me to learn at every turn. <\/p>\n
Same vibes. Pay attention. pic.twitter.com\/cbpjaK9Ntd<\/a><\/p>\n
— Tony "The Bull" Severino, CMT (@tonythebullBTC) April 20, 2023<\/a><\/p><\/blockquote>\n