Bitcoin’s (BTC) Defining Moment, Ethereum’s (ETH) Potential, and More: Bits Recap August 14

A closer look at the recent performance of BTC, ETH, and ADA and what could be coming next.

The formation of a certain setup suggests that BTC could be gearing up for a major price move, yet the exact direction can’t be predicted.

One popular analyst believes the current conditions present an ideal opportunity to invest in ETH, while Cardano’s ADA has lost momentum and might be headed for a substantial decline.

Up or Down for BTC?

The primary cryptocurrency has been hovering in the narrow range of $63,000-$65,000 over the past week, currently trading just south of the lower boundary. The X account Barchart claimed that the minor volatility has resulted in a huge squeeze of the Bollinger Bands.

The technical indicator, created by John Bollinger in the 1980s, features a moving average framed by two channels (upper and lower) that widen in turbulent markets and contract when things calm down.

Tightening the bands is usually a precursor to a big move, but it remains unclear whether it will be up or down, with historical data showing mixed signals. In March, the Bollinger Bands (on a monthly scale) tightened like never before, and shortly after, BTC plunged from approximately $75,000 to roughly $65,000.