Bitcoin has shown strong signs of recovery over the past few weeks, overcoming crucial resistance levels and attracting the attention of market analysts.

The bullish price decline has led to increasing speculation about the cryptocurrency’s next significant price move. Analysts are now monitoring key technical patterns and market behavior, suggesting that Bitcoin could soon reach the $100,000 mark.

One of the most important indicators contributing to this sentiment is the classic cup and handle formation that has been developing for over three years.

Pattern signals possible breakout

According to a chart analysis shared by Jelle on X, Bitcoin has been forming a clear cup shape since late 2021, when its price initially rose above $68,000. After this peak, the price fell sharply and found support in the $16,000-$17,000 range until December 2022.

This rounded bottom indicates the formation of a typical cup shape. The gradual recovery that followed brought the Bitcoin price back towards the $60,000-$70,000 range in 2024, where it began to consolidate in a handle pattern.

This reading suggests that a potential breakout is imminent, with one analyst predicting that Bitcoin will hit the $100,000 mark if this long-term pattern completes.

Institutional demand and historical patterns

In addition to technical patterns, Bitcoin’s future prospects are fueled by institutional activity and cyclical market trends. An analyst known as Crypto Winkle, emphasized that the cryptocurrency’s path towards $100,000 will be supported by the Bitcoin halving in April, which historically coincides with price increases.

Institutional adoption, such as increased interest in Bitcoin ETFs, is also contributing to the increasing demand for the asset. Notably, the analyst has observed that cyclical patterns in previous market trends support the possibility of Bitcoin reaching $100,000 during this cycle.

This outlook is further supported by Bitcoin’s ongoing retest of market liquidity limits, with recent activity in the $55,000-$60,000 range highlighting this level as an important base for a potential upside move.

CVDD figures indicate further growth

Market experts also use on-chain data to gain insights into Bitcoin’s future price movements. Analyst Ali Martinez has pointed to Cumulative Value Days Destroyed (CVDD), a metric that tracks the activity of long-term Bitcoin holders, as a useful indicator of market highs and lows.

The CVDD metric has identified significant accumulation phases, suggesting that if Bitcoin can close above $65,440, its next local top could be around $86,910. Bitcoin would need to rise by about 39.43% to get to $86,910 from its price of $62,331 recorded today.