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According to Tony Severino, a crypto analyst at X (formerly Twitter), the Bitcoin price could rise significantly to $120,000 next week. The analyst has based his bullish projection on this Bitcoin’s Daily Bollinger Bands (BB)highlighting that these indicators are expanding as BTC shows similar price action as observed in 2023.
BTC price targets $120,000 ATH
On December 12, Severino shared a chart demonstrating a technical analysis of Bitcoin using the Bollinger Bands and a historical correlation of its price behavior at the end of 2023. The analyst predicted that if history repeats itself, the Bitcoin price could hit an all-time high of $120,000 by next week.
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Severino revealed that Bitcoin’s daily Bollinger Bands are expanding, while the current price action reflects a similar bullish trend seen in 2023. Looking at the analyst’s 2024 price chart, Bitcoin’s upper and lower Bollinger Bands are represented by a red and green trendline respectively.
Usually this indicates an expanding Bollinger Band increasing price volatility. Bitcoin could start a bullish trend if it breaks above the upper band, or enter a bearish phase if it falls below the lower band. Bitcoin has also tested the lower Bollinger Band at $92,560 and is now steadily approaching the upper band at $102,323. Additionally, the analyst placed Bitcoin’s Bollinger Band base at $97,442.
Severino noted that the Bitcoin price chart on the right shows a historical example in late 2023 when BTC broke above the upper Bollinger band and followed with a significant price increase as it navigated the bands higher. This historical trend is currently being repeated in Bitcoin’s 2024 price setup, indicating a potential for one significant upward price movement if similar conditions from 2023 are met.
If Bitcoin’s price closes above the upper Bollinger Band with a buy signal, it could trigger a rally towards $120,000. Bitcoin is currently trading at $100,219 and would need to rise 20% to reach the analyst’s expected target next week.
Analyst Confirms Bitcoin Bollinger Band Bullish Signal
Trader Tardigrade, an analyst from X, also commented on Bitcoin’s recent price action: revealed that BTC’s Bollinger Bands and Bollinger Band width (BBW) signal the potential for a strong continuation of the upward trend. Sharing a price chart, the analyst noted that Bitcoin previously fell towards the middle of the band but quickly recovered, underscoring the supportive nature of the mid-band.
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Trader Tardigrade has revealed that Bitcoin’s BBW has experienced a lower contraction, while recent price movements resemble those from early November, just before the price shot up from $70,000 to $100,000. If Bitcoin’s price maintains its current bullish trend, the analyst predicts a surge that could push the cryptocurrency to a new all-time high at $136,000. This substantial price increase would represent a massive 36% increase over Bitcoin’s current price.
Featured image created with Dall.E, chart from Tradingview.com
