A widely used Bitcoin technical analysis indicator shows that Bitcoin is about to “rocket” to a new all-time high.
The price of BTC fell to $96,629, and will continue to move higher as the price returns to the key level, according to classic technical analysis indicators.
John Bollinger, the creator of the Bollinger Bands volatility indicator, said in a December 18 column that Bitcoin is on track to break out higher.
Bitcoin Bollinger Bands Could ‘Rally’
After hitting an all-time high above $108,000 on December 17, Bitcoin has broken through the upper boundary of the Bollinger Bands (BB) indicator, a resistance that has been inaccessible since mid-November, according to data from Cointelegraph Markets Pro and TradingView.
Bollinger says this is an encouraging sign for Bitcoin. The Bollinger Bands indicator uses the standard deviation of a simple moving average to determine price ranges and volatility.
In recent days, daily candlesticks for the BTC/USD pair have been touching the upper boundary of the BB. When this happens, it could signal a retracement to the middle of the range or a sudden upward move.
Bitcoin’s push near the upper boundary has raised expectations that the latter scenario may occur.
“Bitcoin BTCUSD provides a Bollinger Bands lesson,” Bollinger Bands says alongside the chart.
The Classic Bollinger Bands are pushing higher.
Bitcoin’s ability to rally from its current price has led to some new Bitcoin price targets for 2025 and beyond.
Bitcoin price could reach $350,000 by 2025
Ledn co-founder Mauricio Di Bartolomeo said that Bitcoin’s value will continue to increase relative to gold, eventually reaching a price equivalent to 50 ounces of gold per BTC. “I believe Bitcoin will continue to be a gold standard, reaching the equivalent of 50 ounces of gold,” Bartolomeo wrote in a December 19 Forbes article.
At current exchange rates, that’s equivalent to a BTC price of $132,500.
“I expect there will be a lot of financial advice from ETF issuers’ research departments and registered investment advisors” advising their clients to add Bitcoin to their portfolios, he said.
Related: What will Bitcoin be worth in 2025 and 2045? A recent BlackRock report said that “investors may prefer to use Bitcoin as a hedge against certain risks, similar to gold.”
Bartolomeo said:
“If you’re a very diversified investor looking to move into Bitcoin, you might be tempted to reduce your gold position to take advantage of the opportunity because you’re investing in a “digital” version of gold.” ¤
Robert Kiyosaki, a vocal supporter of the cryptocurrency since 2017, was more bullish.
In an X post on December 18, Kiyosaki laid out a new strategy for Bitcoin, predicting that its price could reach $350,000 by 2025.
Kioyosaki’s outlook is better than the $800,000 predicted by The Digital Chamber founder Perianne Boring based on a stock-to-run model. The massive increase would push Bitcoin’s market capitalization to $15 trillion from its current value of just over $2 trillion. PlanB, the creator of the stock-to-run model, predicts that by 2025, the average price of Bitcoin will reach $500,000.
