Bitcoin’s tightest-ever Bollinger Bands and negative Sharpe ratio signal major price swing ahead

Bitcoin’s monthly Bollinger Bands have compressed to their narrowest reading on record, a setup analysts associate with powerful follow-up moves. Some chartists highlight that similar volatility squeezes have historically preceded major rallies, although others point to a looming 50- and 200-period moving average death cross and elevated retail long positioning as downside risks. Additional on-chain data shows a deeply negative short-term Sharpe ratio and repeated profit-taking above $70,000, suggesting the market is approaching a key inflection zone.