#Strategy加仓BTC Bitcoin monthly Bollinger Bands show a high compression signal, a breakout or a significant pullback is imminent

Recently, attentive traders may have noticed — $BTC on the monthly chart, the Bollinger Band percentage channel is flashing a very special turning point. This signal has appeared several times in history, almost every time indicating either a macro breakout or a cycle top correction.

Look at the current price position: $BTC has been stuck near the upper band of the Bollinger Bands for several months, with momentum clearly waning. Although it’s still oscillating at high levels, the continuous upward push has long disappeared. Checking the historical records — 2013, 2017, 2021, every time Bitcoin reached this area, the subsequent trend followed a similar script: either a breakout upward or a mean reversion. This time, it’s likely to follow the same pattern.

But the interesting part is the lower band. The lower channel of the Bollinger Bands has been gradually rising, which means that even if a large correction occurs, it’s unlikely to completely destroy the upward trend — instead, support might be regained at a higher level. In other words, the downside is constrained within a relatively high range.

The current trend looks very quiet, but the market structure is quietly brewing change. Based on past performance of the Bollinger Band percentage channel, the probability of a breakout is quite high, and this type of signal has a good hit rate. In the next few days or weeks, the market will give a clear answer — whether to continue upward or to initiate a cyclical correction. $SOL $XRP