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 Pay attention to Web3 information and seize Web3 opportunities Recently, the cryptocurrency market has once again become the focus of investors' attention. John Bollinger, the inventor of the Bollinger Bands indicator, noted on social media that a potential “W” bottom pattern was found on the weekly charts of ETH/USD and SOL/USD, while he did not see the same structure on the Bitcoin chart. This discovery immediately attracted widespread attention in the cryptocurrency community, as Bollinger only makes cryptocurrency predictions almost once a year, and his last signal on Ethereum was in September 2022, when Ethereum was trading near $1,290 before soaring to $4,000.  What is the Bollinger Bands "W" bottom? For readers unfamiliar with technical analysis, here is a brief explanation of the Bollinger Bands and “W” bottom patterns. Bollinger Bands is a technical analysis tool invented by John Bollinger. It consists of a center line (usually a 20-period simple moving average) and two bands that fluctuate up and down around the center line. The upper and lower bands represent the standard deviation of the price and can reflect the volatility of the price. “The W” bottom is a two-stage reversal pattern in Bollinger Bands analysis that is characterized by price forming two distinct lows, with the second low being higher than the first. The pattern gains validity when the second low is inside the Bollinger Bands or shows positive divergence relative to the lower band. This pattern shows that after two attempts to bottom out, the power of sellers gradually weakens and buyers begin to take control. It is a common bullish reversal signal. Potential opportunities for Ethereum and Solana According to Bollinger’s observation, the weekly charts of Ethereum and Solana are forming this potential “W” bottom pattern. He emphasized that this is a "potential" pattern, which means further confirmation is needed, but it is definitely time to start paying close attention to the market. This sentiment was echoed by other analysts. Crypto analyst Dan Gambardello also backed Bollinger’s bullish predictions for the upcoming alt season. Gambardello emphasized that Bitcoin’s dominance is on the verge of a trend reversal, further supporting the theory that an alt season may occur in the near future. Looking at price action, Ethereum has fallen to near $3,700 twice this month and appears to be gradually rebounding. Solana also showed a similar trend in October, testing the $175 level twice before recovering slightly.  Divergence from Bitcoin Interestingly, Bollinger made it clear that he does not see the same “W” bottom pattern on the Bitcoin chart. He pointed out that Bitcoin’s Bollinger Bands are shrinking, signaling high volatility to come, but have not formed a “W” bottom. This divergence suggests that there may be differences in the short-term volatility structure between major cryptocurrencies. While Ethereum and Solana may be forming a bullish reversal pattern, Bitcoin appears to be range-bound and has yet to recapture the midline of the Bollinger Bands. Historical performance and market impact Bollinger's past forecasting record adds weight to this signal. Analyst Satoshi Flipper pointed out that the last time Bollinger recommended focusing on cryptocurrencies was in July 2024, and within the next six months, Bitcoin surged from under $55,000 to over $100,000. Earlier in September 2022, Bollinger sent a signal about Ethereum. At that time, Ethereum was trading at nearly $1,290, and then rose to around $4,000. This historical performance reinforces his reputation among traders for precision, with many investors viewing his statements as cycle-defining signals rather than routine observations. How to confirm the "W" bottom pattern For Auntie and Solana, confirmation of a W-bottom requires a sustained price close above the middle band of the Bollinger Bands (usually the 20-period moving average), accompanied by an orderly upward trend. Healthy reversals usually build gradually through higher lows and backtests in the middle bands, rather than explosive spikes. If price instead falls back to the lower Bollinger Bands, or expands volatility without directional follow-through, the setup may not complete. As of this writing, Ethereum is trading around $4,037, and traders are keeping a close eye on whether this rare signal could once again mark a key turning point for the market. Broader market context In addition to Bollinger’s observation, other market data supports Ethereum’s bullish outlook. Some analysts pointed out that Ethereum is forming a Wyckoff re-accumulation pattern, approaching the $4,000 level. This technical setup has historically often preceded strong upward momentum. Institutional accumulation is also accelerating. Data shows that public companies now hold 4.63 million ETH, with 95% of these reserves acquired in just three months (July to September 2025). Meanwhile, ETF inflows have reached $6 billion, further tightening the already limited supply of liquidity. Some analysts are even more optimistic, believing that Ethereum may be targeting the $7,000-$8,000 range as its potential upside target, which represents 75-100% upside from current levels. Village chief's point of view Regarding the current market situation, the village chief believes that investors should remain cautiously optimistic. Technical patterns give us clues about potential market direction, but are not guarantees. In the case of Ethereum and Solana, the bottom of the Bollinger Bands “W” is indeed a positive sign worth paying attention to, especially when prompted by the inventor of Bollinger Bands himself. However, any investment decision should take into account a variety of factors, including overall market sentiment, fundamental factors and personal risk tolerance. The cryptocurrency market is known for its high volatility, and even in seemingly bullish setups, prices can fluctuate wildly. For investors who want to seize potential opportunities, the village chief recommends adopting a strategy of building positions in batches, setting reasonable stop loss levels, and only investing funds that can withstand complete losses. Remember, no technical indicator is 100% accurate, not even the signal from the indicator's inventor.  Summarize John Bollinger’s identification of a potential “W” bottom for Ethereum and Solana provides an important technical signal for the cryptocurrency market. This pattern, if confirmed, could signal a major upside move for both assets. In contrast to Bitcoin’s current market structure, Ethereum and Solana appear to be in a unique technical position, which combined with increased institutional accumulation, strong ETF inflows, and overall improving market sentiment create a favorable environment for a potential bullish move. As Bollinger said: “I think it’s time to start paying attention soon. ” Wise investors will likely keep a close eye on market dynamics, waiting for confirmation signals discussed above to prepare for possible next moves. Risk warning: The content of this article is only a personal opinion sharing and does not provide any investment advice.   |
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