bullish

Cipher

Bitcoin

Band

Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>) opened 2026 at $87,500 as markets geared up for the year’s first Wall Street trading session.
Key points:
<ul>
 <li>
 Bitcoin lies in wait at $87,500 for the start of TradFi trading on global markets.</li>
 <li>
 RSI and Bollinger Band signals imply major BTC price volatility is due.</li>
 <li>
 Market participants say goodbye to the four-year price cycle theory.</li>
</ul>
<h2 id="traders-brace-for-2023-style-btc-price-volatility">Traders brace for 2023-style BTC price volatility</h2>
Data from <a href="https://www.tradingview.com/symbols/BTCUSD/?exchange=BITSTAMP" rel="noopener nofollow" target="_blank">TradingView</a> tracked a calm start to the new yearly candle for Bitcoin, capping a grim Q4 for bulls.
<figure>
 <img alt="Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle" src="https://s3.cointelegraph.com/uploads/2026-01/019b7a57-7619-719f-8bc7-64e5374ab572.png" title="">
 <figcaption style="text-align: center;">
 BTC/USD one-hour chart. Source: Cointelegraph/TradingView
 </figcaption>
</figure>
 
 Ahead of TradFi markets returning, traders were split between trepidation and hope for a broader crypto market rebound.
“New year, fresh start. We have a locked in 3-day bull div, right on top of key support,” trader Jelle summarized in his <a href="https://x.com/CryptoJelleNL/status/2006690388116131852" rel="noopener nofollow" target="_blank">analysis</a> on X.&nbsp;
Jelle referred to a bullish divergence playing out on the relative strength index (<a href="https://cointelegraph.com/news/here-s-3-ways-the-relative-strength-index-rsi-can-be-used-as-a-sell-signal" rel="" target="_self" title="https://cointelegraph.com/news/here-s-3-ways-the-relative-strength-index-rsi-can-be-used-as-a-sell-signal">RSI</a>) indicator on three-day timeframes.
“$BTC looks good for upside this quarter,” he added.
<figure>
 <img alt="Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle" src="https://s3.cointelegraph.com/uploads/2026-01/019b7a52-7791-71ed-b564-c749f2bca690.jpeg" title="">
 <figcaption style="text-align: center;">
 BTC/USD three-day chart with RSI data. Source: Jelle/X
 </figcaption>
</figure>
 
 Analytics account Quantdata21 anticipated BTC price volatility as a result of low weekly RSI and record narrowing on the Bollinger Bands volatility index.
As <a href="https://cointelegraph.com/news/bitcoin-bollinger-bands-parabolic-bull-signal-from-late-2023">Cointelegraph reported</a>, the indicator’s Bollinger BandWidth derivative was setting records throughout Q4, implying that a major upward move was due.
“There is only one other occasion that daily bollinger band width has squeezed this tight with weekly RSI below 40,” Quantdata21 <a href="https://x.com/bitcoindata21/status/2006418792134434964/photo/1" rel="noopener nofollow" target="_blank">wrote</a> Wednesday.&nbsp;
<blockquote data-ct-non-breakable="undefined">
 “That was january 2023, and we all know what happened to bitcoin from there.”
</blockquote>
<figure>
 <img alt="Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle" src="https://s3.cointelegraph.com/uploads/2026-01/019b7a52-e2ff-726e-86fe-844444017ddb.jpeg" title="">
 <figcaption style="text-align: center;">
 BTC/USD one-day chart with Bollinger Band Width, one-week RSI data. Source: Quantdata21/X
 </figcaption>
</figure>
<h2 id="bitcoin-four-year-cycle-meets-new-era">Bitcoin four-year cycle meets “new era”</h2>
Bitcoin price performance in 2025 nonetheless ended on a low as BTC/USD completed its first “red” 12-month candle in a post-halving year.
Related: <a href="https://cointelegraph.com/news/bitfinex-whales-go-long-btc-for-2026-5-things-bitcoin-this-week">Bitfinex whales go long BTC for 2026: 5 things to know in Bitcoin this week</a>
This fielded more discussion over whether four-year BTC price cycles were still relevant.
<blockquote class="twitter-tweet">
 <a href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="nofollow">$BTC</a> just closed its post-halving year in red for the first time ever 
 Cycles were never a law of nature. 
 They were a liquidity pattern. 
 Different macro, different participants different constraints. 
 What broke wasn’t Bitcoin. 
 What broke was the assumption that timing stays… <a href="https://t.co/QCHF2J32tc" rel="nofollow">pic.twitter.com/QCHF2J32tc</a>— Cipher X (@Cipher2X) <a href="https://twitter.com/Cipher2X/status/2006731765692641509?ref_src=twsrc%5Etfw" rel="nofollow">January 1, 2026</a>
</blockquote>
“RIP Bitcoin 4 Year Cycle,” Simon Dixon, founder and CEO of Bitcoin security company Bnk To The Future, <a href="https://x.com/SimonDixonTwitt/status/2006515201194258711" rel="noopener nofollow" target="_blank">told</a> X followers on the day.
Dixon said that 2026 would form a “new era” for Bitcoin in light of the four-year cycle breakdown.
<figure>
 <img alt="Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle" src="https://s3.cointelegraph.com/uploads/2026-01/019b7a55-2db0-7f7e-b5bf-eccf394b0112.png" title="">
 <figcaption style="text-align: center;">
 BTC/USD 12-month chart. Source: Cointelegraph/TradingView
 </figcaption>
</figure>
 
 Despite this, as <a href="https://cointelegraph.com/news/bitcoin-price-in-2026-predictions-vs-charts-and-reality">Cointelegraph reported</a>, various forecasts demand new all-time highs in the coming year. $150,000 proved to be particularly popular, with calls coming from Strategy CEO Michael Saylor among others.
In the short term, meanwhile, crypto trader, analyst and entrepreneur Michaël van de Poppe began the countdown to $90,000.
“I would suggest, given that more and more doors are opening for people to invest into $BTC, that we're going to test $90K in the coming week and start breaking upwards,” he concluded.
<figure>
 <img alt="Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle" src="https://s3.cointelegraph.com/uploads/2026-01/019b7a54-173c-7b01-892e-c927f0eaa6d6.jpeg" title="">
 <figcaption style="text-align: center;">
 BTC/USDT four-hour chart with RSI data. Source: Michaël van de Poppe/X
 </figcaption>
</figure>
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Bitcoin RSI demands breakout as exec says 'RIP' to 4-year BTC price cycle

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