TLDR
- Bitcoin price is near $104,000, rising 4.1% amid improved market sentiment
- A Bollinger Band signal on weekly charts has historically preceded major rallies
- Technical analysts project potential targets between $100,000-$160,000
- Bitcoin has bounced from support at $77,500 with resistance above $106,000
- Market optimism partially fueled by President Trump’s recent trade announcements
Bitcoin is approaching the $100,000 mark once again, showing strong technical signals that have historically preceded major price movements. The cryptocurrency rose 4.1% to $102,762.8, reaching as high as $103,885.4, a three-month high.
A key technical pattern has emerged on Bitcoin’s weekly chart. The Bollinger Bands indicator is showing a setup that has only appeared four times since 2022. Each previous occurrence marked the beginning of a strong upward price movement.
#Bitcoin Weekly Bollinger Bands
On the weekly time-frame, Bitcoin managed to find support on the Bollinger Bands' low-line and confirmed the flip as it is now moving higher.$BTC is flashing this signal that has only been triggered 4 times this cycle so far, with a 100% success… pic.twitter.com/coWvEGAmvy
— Bitcoinsensus (@Bitcoinsensus) May 7, 2025
This technical signal involves Bitcoin touching the lower Bollinger Band on the weekly chart and bouncing upward. According to analyst Bitcoinsensus, this confirms a support level that has historically acted as a springboard for sustained bullish momentum.
The pattern is now appearing for the fifth time in this market cycle. Each of the past four signals was followed by substantial price rallies.
In early 2023, Bitcoin rallied from below $20,000 to over $30,000 following the appearance of this signal. A similar pattern occurred in mid-2023 when this setup triggered a surge that pushed Bitcoin above $45,000.
Market Sentiment Improves
Later in 2023, the same signal preceded another breakout, with BTC soaring past $60,000. Most recently, in early 2024, the Bollinger Band signal sparked a run above $100,000.
Now in Q2 of 2025, Bitcoin is flashing this indicator again. Its price found support near the $77,500 level, with resistance set above $106,000. Based on this pattern, some analysts predict a potential rally toward $130,000-$160,000.
Another analyst, Trader Tardigrade, identified a recurring breakout pattern that has historically preceded large upward moves. This pattern involves Bitcoin breaking out from a descending resistance trendline.
#Bitcoin is set to continue its surge in the coming weeks 🔥
Previous breakouts of same kind have resulted in gains of 63% to 143% over 9-26 weeks.
How high do you think this $BTC surge will go? pic.twitter.com/uQlmEnjYX1
— Trader Tardigrade (@TATrader_Alan) May 8, 2025
The broader market sentiment has also improved. Bitcoin’s price movement coincides with gains in risk-driven markets, following President Donald Trump’s announcement of a trade deal with the UK and potential tariff reductions with China.
While Bitcoin is not directly impacted by global trade disruptions, improving risk appetite tends to boost cryptocurrency prices given their speculative nature.
Bitcoin has been on a strong run, gaining 4.75% over the past week. It’s headed for a third straight week of gains, extending a rally that began in late April.
The cryptocurrency market as a whole has seen positive movement. Ethereum (ETH) has been an outperformer, rallying 16.5% to $2,209.41 after activating its Pectra upgrade, the most substantial overhaul since the Merge in 2022.
Other cryptocurrencies have also seen gains. XRP, Solana, and Cardano rose between 5% and 9%. Polygon increased by 8.7%, while meme tokens like Dogecoin rose 8.2%.
The crypto market continues to show resilience despite some headwinds in the broader financial sector. Coinbase Global Inc reported a drop in first-quarter profit that missed expectations, sending its shares down nearly 3% in aftermarket trading.
Bitcoin’s current price of $102,762.8 puts it just below its all-time high of $109,000. If the historical patterns hold true, analysts suggest Bitcoin could set new records in the coming months.
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