Bitcoin has made an impressive recovery, gaining roughly 30% since briefly dipping below the 60,000 dollar mark on February 6, 2024. Now, technical analysis suggests that a prominent “cup and handle” pattern could pave the way for Bitcoin to reach as high as 220,000 dollars in the months ahead.
Multi-year technical pattern hints at growth
According to experts, Bitcoin’s weekly chart has formed a textbook cup and handle formation, which typically signals the potential for a steep upward move. In this setup, prices first carve out a rounded bottom forming the “cup,” followed by a short period of consolidation creating the “handle.” If resistance is broken to the upside, the pattern projects a price target equal to the depth of the cup added to the breakout point.
Glossary: The cup and handle formation occurs when a price chart creates a rounded bottom followed by a shorter, tighter dip, generally indicating a continued uptrend. The target price is typically calculated by adding the cup’s depth to the breakout level.
Technical analyst Crypto Tice affirms that this formation now looks complete on Bitcoin’s chart, remarking, “Cup and handle breakouts tend to lead to moves of hundreds of points.” TradingView data points to a theoretical target as high as 295,000 dollars for the pattern. However, analysts caution that the bullish outlook requires Bitcoin to hold above the neckline zone, specifically between 65,000 and 74,000 dollars.
Crypto Tice states, “The retest phase is over, now it’s time for a strong move to begin,” outlining the bullish levels he expects after the cup and handle breakout completes.
Spot trading volumes see sharp decline
Bitcoin’s spot trading volume has dropped dramatically—down 81% since October 2025. On Binance, trading volumes have shrunk from 198.6 billion dollars to just 36.4 billion dollars. Gate.io saw a 79.6% drop, while Bybit lost 66% of its trading volume. According to CryptoQuant, such sharp volume declines often occur in the final stages of a bear market.
CryptoQuant analyst Darkfost comments, “The current low trading volume mostly reflects negative macroeconomic developments for risk assets.” He also notes that decreasing volume may indicate waning selling pressure in the market.
| Exchange | October 2025 Volume | Recent Volume | Decline Rate |
|---|---|---|---|
| Binance | 198.6 billion $ | 36.4 billion $ | 81% |
| Gate.io | – | – | 79.6% |
| Bybit | – | – | 66% |
Critical support levels take center stage
Trader VeLLa Crypto points out that for any bullish scenario to play out, Bitcoin must firmly hold support above 74,000 dollars. As reported by Cointelegraph, a slip below this mark could temporarily sideline bullish expectations and allow bears to regain momentum.
ETF outflows seen as buying opportunities
Large outflows from Bitcoin spot ETFs have previously coincided with sharp buying opportunities. With spot trading volumes sinking in recent days, several analysts now sense that another rebound could be on the horizon.
