Bollinger Bands Exploding Bitcoin Price Point To The Top, But How High?

As a classic technical analysis gauge, Bitcoin (BTC) may see more volatility as the price of BTC looks at key levels.

In a Dec. 18 post on X, John Bollinger, creator of the Bollinger Bands volatility indicator, said that Bitcoin is headed higher.

Bitcoin Bollinger Bands can lead to a “walk”.

After reaching a new high above $108,000 on December 17, Bitcoin breached the upper boundary of the Bollinger Bands (BB) indicator, a barrier it has not reached since mid-November, according to data from Cointelegraph Markets Pro and TradingView. .

According to Bollinger, this is an encouraging sign from Bitcoin. The Bollinger Bands indicator uses standard deviation around a simple moving average to determine both potential price ranges and volatility.

Over the past few days, the BTC/USD pair has recorded a pair of daily candles touching the upper band of the BB. When this happens, a return to the mid-band may indicate an imminent reversal or sudden reversal of volatility.

The recent push by Bitcoin to the upper band adds weight to the prospect that the latter scenario may now be playing out.

“Bitcoin BTCUSD offers Bollinger Band tutorial,” Bollinger commented with the chart.

“A classic Bollinger band squeeze leads to an upward move to the upper band.”

The prospect of Bitcoin rising above its current price has led to some big new BTC price targets for 2025 and beyond.

By 2025, Bitcoin's value could reach $350,000.

According to Mauricio Di Bartolomeo, the founder of Led, Bitcoin will continue to increase in value measured in gold, and eventually one BTC will be equal to 50 ounces of gold.

“I believe Bitcoin will continue to appreciate on the gold standard and reach a price equivalent to 50 ounces of gold,” Bartholomew wrote in Forbes on December 19.

This equates to a BTC value of $132,500 at current prices.

“I expect to see a lot of portfolio recommendations from ETF issuers' research desks and registered investment advisors,” he said, advising clients to add Bitcoin to their portfolios.

Related: What will be the value of Bitcoin in 2025 and 2045?

“Investors may choose to use bitcoin strategically to hedge against certain risks similar to gold,” said a recent BlackRock report.

Bartolomeo said:

“If you're a fully-allocated investor looking to move into the bitcoin space, you're going to want to reduce your gold position because you're investing in the ‘digital' version of it.”

Robert Kiyosaki, a leading cryptocurrency advocate since 2017, has made an even more ambitious prediction.

In a December 18 post on X, Kiyosaki set a new target for Bitcoin, predicting that the price could rise to $350,000 by 2025.

Kiyosaki's figure is a more conservative estimate than Digital Chamber founder Perian Bohring's, an $800,000 forecast based on a stock-to-flow model. Such an increase would push Bitcoin's market capitalization to around $15 trillion, up from its current value of $2 trillion.

PlanB, the creator of the stock-to-flow model, predicts that it will be worth an average of $500,000 by 2025. However, he said the price could be as high as $1 million.

This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.