Source: Blockchaincenter<\/figcaption><\/figure>\n<\/div>\n\n\nAt its current price of $110,000<\/strong>, Bitcoin is in the HODL<\/strong> zone of the Rainbow Chart, an intermediate band indicating fair valuation compared to its growth history.<\/p>\n\n\n\nThis chart, based on a logarithmic scale, divides Bitcoin’s price evolution into colored zones, ranging from extreme undervaluation to speculative overvaluation. The HODL zone, an iconic term in the crypto community meaning “hold for the long term,”<\/strong> suggests that Bitcoin is neither in a speculative bubble nor in a phase of buying at low prices.<\/p>\n\n\n\nThis neutral position<\/strong> implies that it is not urgent to sell<\/strong> as the market shows no signs of overheating. For hodlers, this phase is ideal for maintaining their positions, while new investors may consider gradual purchases to mitigate risks associated with volatility.<\/p>\n\n\n\nWhat Does the Chart Signal for the Future : Buy or Sell ?<\/h2>\n\n\n\n In a bullish market context, the Rainbow Chart identifies several key levels:<\/p>\n\n\n\n
\n$164,000 : Initial Signs of FOMO<\/strong> At this level, Bitcoin would enter a phase where the fear of missing out<\/strong> (FOMO) starts to emerge. Investors, witnessing the rapidly rising price, might rush to buy, fueling a bullish momentum. This level represents an increase of about 50%<\/strong> from the current price, an ambitious yet plausible target in a market driven by enthusiasm.<\/li>\n\n\n\n$211,000 : Overvaluation Zone<\/strong> Beyond $164,000, Bitcoin could reach levels where it would be considered overvalued<\/strong> according to the Rainbow Chart. At $211,000<\/strong>, representing a 90%<\/strong> increase from today, the market would enter an intense speculative phase, often associated with potential corrections.<\/li>\n\n\n\n$276,000 : Euphoric Zone<\/strong> In an extremely bullish scenario, Bitcoin could soar into the euphoric zone<\/strong>, surpassing $276,000<\/strong>. This level, while speculative, would correspond to massive adoption and increased trust in the cryptocurrency, potentially fueled by macroeconomic factors such as inflation or institutional adoption.<\/li>\n<\/ul>\n\n\n\nConversely, if the market turns bearish, the Rainbow Chart suggests that a drop below $33,000<\/strong> would put Bitcoin in an extreme undervaluation zone<\/strong>. This level, well below the current price, would present a massive buying opportunity<\/strong> for long-term investors. However, such a scenario seems unlikely in the short term, given the current dynamics and Bitcoin’s resilience to recent corrections.<\/p>\n\n\n\n\n