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In a recent post on the X social media platform, legendary trader John Bollinger predicted that Bitcoin, the leading cryptocurrency, would keep consolidating within its current range.
Bollinger noted that the flagship coin failed to pull off a price bounce after its two-bar reversal at the lower Bollinger Band.
On June 25, the creator of one of the most popular trading tools said that the "lovely" two-bar reversal was supposed to be sufficient for a price jump. The chartist suggested that the cryptocurrency could potentially test the highs. However, this wasn't the case.
Back in 2021, Bollinger said that the two-bar reversal was one of his most favorite trading patterns. In fact, he once called it his "bread and butter" trade.
According to the chartist, the ideal two-bar reversal occurs when both bars are greater than the average true range (ATR), which is a popular market volatility indicator. Both bars should be big-range bars, according to Bollinger. The first bar should close outside the upper Bollinger Band followed by a close inside (or vice versa). This is a very useful strategy when it comes to counter-trend trades, according to Bollinger.
The price of the leading cryptocurrency is currently sitting at $60,181, according to CoinGecko data. Earlier today, it managed to reclaim the $62,000 level, but this bullish momentum quickly fizzled out.