According to a detailed technical report from CryptoQuant, Bitcoin is showing signs of a bullish breakout, fueled by a classic and powerful Double Bottom formation.
This chart pattern is widely recognized as one of the strongest signals that a trend reversal may be underway. Analysts from the firm interpret this setup as a sign that bearish pressure is weakening and that buying momentum is beginning to take control of the market.
Double Bottom Pattern Signals Market Shift
The report identifies two key inflection points that make up the double bottom: the first bottom formed at $106,800 on May 23, followed by a slightly lower second bottom at $106,600 on May 25. These levels collectively define a zone where buyers have consistently stepped in to defend support.
The neckline resistance was positioned at $109,000, which Bitcoin has now successfully broken above. This move was accompanied by strong trading volume, a detail that the analyst emphasizes as a clear indicator of renewed bullish strength.
Targeting $112K If Support Holds
Currently, Bitcoin is trading around $109,400. The analyst states that this breakout has activated the double bottom pattern, and as long as BTC holds this level as support, the price target of $112,000 is now within reach. The firm views this as a structural shift in sentiment, where the market appears to have declared that enough selling has taken place.
Commenting on the psychology behind the pattern, the report explain that a double bottom signals a change in control. When buyers are able to defend the second low, it typically reflects growing confidence and a potential shift in market direction. Still, the analyst also notes that not every pattern plays out as expected, reminding traders that technical analysis provides guidance, but decisions must still be made with discipline and risk awareness.
The report concludes that those who navigate the market with patience and a well-defined plan are the most likely to benefit from this potential move. Overall, the author believes that this current setup presents a clear opportunity, and the path toward $112,000 appears increasingly viable as long as key support levels remain intact.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/bitcoin-price-poised-for-112k-breakout-as-double-bottom-pattern-confirms/