Bitcoin opened at $87,500 as the market anticipated the first Wall Street trading of the new year. Key points include Bitcoin’s current position as it awaits traditional finance trading, with signals from the RSI and Bollinger Bands indicating potential significant price swings. Market participants seem to have moved on from the theory of a four-year price cycle, and traders are bracing for fluctuations similar to those seen in 2023.
On TradingView, the new annual candlestick for Bitcoin displays a quiet start following a challenging fourth quarter for bullish traders. Opinions among traders are mixed—there’s a blend of fear and hope regarding a recovery in the broader crypto market. Trader Jere expressed a sense of optimism with a three-day bull run that appears to stand above major support. He also pointed out a bullish divergence forming in the Relative Strength Index (RSI) on a three-day timeframe, predicting a favorable outlook for BTC prices this quarter.
The analytical account Quantdata21 has forecasted an increase in Bitcoin’s price volatility, citing low weekly RSI levels and a significant contraction in Bollinger Bands volatility. They noted that this indicator’s Bollinger Bands width has been at record lows, hinting at the possibility of a meaningful rally. They referenced a past instance where a similar RSI situation occurred in January 2023, which preceded notable Bitcoin price movement.
However, Bitcoin’s performance in 2025 ended on a low note, with the year marked by its first “red” 12-month candlestick after the halving. This has stirred fresh discussions on the relevance of the four-year price cycle, which appears to have lost its former predictability. Simon Dixon, founder of a Bitcoin security firm, remarked on this breakdown, suggesting 2026 might usher in a “new era” for the cryptocurrency. Nonetheless, some forecasts are still eyeing a new all-time high next year, with the $150,000 mark gaining traction, as noted by various industry leaders.
In the short-term perspective, trader and analyst Michael van de Poppe has initiated a countdown to reach $90,000, indicating growing opportunities for investment in Bitcoin. He believes that testing $90,000 could happen within the week, potentially triggering a price surge.
This content does not provide investment advice or recommendations. All trading and investment activities carry risks; readers should undertake their own research prior to making decisions. While efforts are made to deliver timely and accurate information, no guarantees can be made regarding its reliability. Additionally, forward-looking statements are susceptible to uncertainties.
