TLDR
- Bitcoin is stabilizing between $82,000 and $84,000 following a 22% pullback from its historic peak.
- Analysis of technical charts indicates Bitcoin is shaping a cup-and-handle pattern, projecting a prospective range between $130,000 and $139,000.
- Strategy, previously known as MicroStrategy, has further bolstered its Bitcoin holdings by acquiring 130 more BTC, bringing its stockpile to nearly half a million.
- Experts interpret the current dip as a mere 'shakeout' phase, not signaling the conclusion of Bitcoin’s typical 4-year cycle.
- Despite the price dance, on-chain metrics reflect robust long-term holder accumulation.
Bitcoin has been moving narrowly between $82,000 and $84,000 in recent days, following a substantial 22% drop from its previous high of $108,786 in January 2025. The sentiment in the market has become more cautious, with fading expectations of a swift recovery beyond $90,000.
Yet, the technical landscape unfolds a hopeful narrative for Bitcoin with the potential formation of a cup-and-handle. This structure spans several years, with the rounded base taking shape from 2021 through mid-2024.
Focused on growth, the handle segment of the cup-and-handle was finalized in November 2024, paving the way for a robust upswing that catapulted Bitcoin to its new peak in January 2025.
The recent 24% dip has returned Bitcoin to the neckline support area of its famed cup-and-handle formation, expected to bolster current price behavior.
Elliott wave theory supports an even more optimistic outlook, positioning Bitcoin within a broader fifth wave impulse, known for potential upward momentum notwithstanding some corrective ABC patterns.
In this technical backdrop, Bitcoin might aim for territory above $130,000, with particular forecasts nearing $139,000. Despite showcasing bullish technical signals, Bitcoin’s fundamentals portray slight short-term unpredictability, lacking the immediate strength to challenge $90,000.
Continued consistent outflows from Spot Bitcoin ETFs have upped the selling forces, constraining Bitcoin's potential to rebound swiftly.
Under Michael Saylor's leadership, Strategy (previously MicroStrategy), stays committed to amassing Bitcoin. They've just secured an additional 130 BTC for $10.7 million.
This recent increment elevates Strategy's total Bitcoin holdings to 499,226 BTC, approximately valued at $33.1 billion with prevailing rates.
Strategy retains its title as the foremost corporate Bitcoin holder globally, persistently obtaining Bitcoin even during downturn phases.
With an average acquisition price at $66,360 per BTC across all positions, Strategy underscores their enduring belief in Bitcoin's long-term potential.
Market pundits approach the ongoing slump with a different perspective compared to standard bear cycles, labeling it a 'shakeout' rather than the finale of Bitcoin’s predictive 4-year rhythm.
Market Analysis
Experts from Bitfinex assert that ‘corrections in bull cycles are the norm,’ treating this as a shakeout instead of the ushering in of an extended bear period.
Despite trepidations about a prolonged bull market disruption, Bitcoin's four-year cycle and the recent halving maintain prominence in driving price dynamics. The 2024 Bitcoin halving on April 20 reduced block rewards to 3.125 BTC per block.
The market uplift exceeds 31% following the last halving, deemed an intensively bullish lineup for Bitcoin prices, partly fueled by swelling institutional interest.
Bitcoin’s Analytics focused on-chain illuminate unwavering holder tenacity, marking continual amassing.
More investors are opting to hold longer as they transition from short-term to long-term holding strategies. More Bitcoin CryptoQuant analysts emphasize that ‘this hodling pattern spotlights resilient investment behavior,’ with investors continuing to hold firmly despite current price corrections.
Historically, such unshakable persistence among Bitcoin investors has been pivotal in bottoming markets, often sparking new bullish trends.
Some foresee Bitcoin ascending as high as $600,000, whereas CoinCodex’s algorithms provide a more tempered outlook, predicting Bitcoin surpassing $175,000 by 2025’s end.
At present, Bitcoin trades near the $83,500 mark. The coming weeks carry critical importance in determining whether the support sustains and whether the anticipated rally takes shape.
For those monitoring Bitcoin’s market dynamics, the $72,000-$73,000 support zone is imperative, with wider market variables such as global treasury yields and trends in equities likely swaying Bitcoin's forthcoming significant shift.
Maisie, with a background in Crypto & Financial journalism, contributes to Moneycheck.com, level-up-casino-app.com, and Computing.net, while leading at Blockfresh.com.
