Bitcoin has stayed in a narrow box range around $63,000, entering a technical compression phase similar to the period just before a major rally began in 2023.
U.Today, a blockchain outlet, reported on Tuesday that the Bollinger Band width on Bitcoin’s daily chart has narrowed to its lowest level since October 2023.
Traders call such extremely low volatility a “squeeze”. It generally refers to a phase in which a sharp price move can emerge after volatility drops sharply.
The current chart shows a flow similar to autumn 2023. At the time, after Bollinger Bands narrowed significantly, Bitcoin entered a full-fledged uptrend and later maintained a long bullish run through mid-2025.
This time, macroeconomic factors are also aligning with the technical signal. The July consumer price index (CPI) released on the day met market expectations. Markets are focusing on the possibility that the U.S. Federal Reserve (Fed) will keep rates at the current level without an additional rate hike at its September meeting. Fed officials have also shown a view that the current rate level is sufficiently restrictive and that inflation can be brought back to the 2 percent target without further hikes.
