Bitcoin's Daily Bollinger Bands Narrow to One of Tightest Widths in 2½ Years
Photo: TokenPost
On Oct. 20, Bitcoin (BTC)'s daily Bollinger Bands reached one of their tightest widths in 2½ years, reflecting subdued recent price swings without indicating where the market will move next. Bollinger Bands place an upper and lower line around a central price average. They typically use a 20-day simple moving average for the middle line, with the outer lines set two standard deviations above and below it. Standard deviation measures how much prices vary from their average. When the gap between the outer lines narrows, recent prices have varied less. Pronounced narrowing has often preceded a directional move.
Source: TokenPost
