Bitcoin at $87,500 as volatility looms; four-year cycle dies

Bitcoin opens 2026 at $87,500 as record-tight Bollinger Bands and low weekly RSI hint at imminent volatility; traders spot a 3-day bullish RSI divergence, prompting cycle debate and targets from $90K near-term to $150K.

  • Bitcoin opened 2026 at $87,500 ahead of the first Wall Street trading session.
  • Technical indicators — low weekly RSI and record-tight Bollinger BandWidth — point to imminent price volatility.
  • Some traders cite a three-day bullish RSI divergence near key support as a short-term positive.
  • Market discussion intensified after the first post-halving 12-month candle closed in red, prompting debate over the four-year cycle.
  • High-profile voices mention a possible “new era” for Bitcoin while others forecast higher targets such as $150,000.

Bitcoin opened 2026 at $87,500 as global markets prepared for the year’s first TradFi trading session, according to TradingView data. Traders reported a calm start to the new yearly candle after a weak fourth quarter for bulls.

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Some market participants highlighted bullish signs on multi-day charts. Trader Jelle wrote, “New year, fresh start. We have a locked in 3-day bull div, right on top of key support.” He added that “$BTC looks good for upside this quarter.”

Analytics account Quantdata21 pointed to a combination of low weekly RSI and a record narrowing on the Bollinger BandWidth indicator. Quantdata21 noted, “There is only one other occasion that daily bollinger band width has squeezed this tight with weekly RSI below 40.” The account added, “That was january 2023, and we all know what happened to bitcoin from there.”

The market also debated long-standing cycle theory after BTC completed its first red 12-month candle in a post-halving year. A prominent market voice wrote that “Cycles were never a law of nature.” Cipher X and Simon Dixon both discussed the shift, with Dixon tweeting “RIP Bitcoin 4 Year Cycle” and calling 2026 a “new era.”

Some forecasts cited in market conversations include calls for new all-time highs, including a frequently mentioned $150,000 target. Short-term traders also flagged a potential move toward $90,000 in the coming days.

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