Bitcoin $110K setup 'still in play' but analysts warn of sub-$40K dip first

Based on historical chart technical patterns, Bitcoin (BTC) is on track to $110,000, but some analysts are concerned about a potential correction below $40,000 before reaching six figures.

Bitcoin price charts target $110K by 2025

Bitcoin’s price is on track to $110,000 by 2025 based on a key technical formation, according to popular crypto analyst Titan of Crypto.

The analyst wrote in a Sept. 1 X post:

“Bitcoin $110,000 Is on the Way. The Cup & Handle pattern is still in play. A bit more patience—the last quarter of the year is going to be epic!”

The cup-and-handle is a popular bullish chart pattern that signals the extension of an uptrend, used to spot opportunities to gain long exposure to an asset.

Another technical indicator also hints at a breakout toward $100,000 during the first quarter of 2025, according to popular analyst Elja Boom.

The analyst wrote in an Aug. 31 X post:

“BTC giant inverse head and shoulder pattern. When this breaks out, #Bitcoin will shoot above $100K. My timeline is ATH in Q4 and $100K in Q1 2025.”

Concerns over a potential BTC price drop to $40K

Despite the optimistic six-figure predictions, Bitcoin could still see a significant correction first.

Before the 2025 breakout, Bitcoin could risk a correction below $40,000, according to Bitcoin analyst Magoo PhD, who shared the below chart in a Sept. 1 X post.

Yet, other analysts argue that the correction will not be as severe. For instance, popular crypto analyst Moustace is eying a market bottom around $57,000.

The analyst wrote in a Sept. 2 X post:

“I know everyone is waiting for $53,500, but I think the low for $BTC is in here/or very close (~$57k), if it continues to copy the covid 2020 fractal.”

Based on historical data, technical traders use fractal patterns to identify key support and resistance levels and potential trend reversals.

Related: $3K Ethereum price breakout likely delayed until October

Bitcoin currently has significant support at $57,000. A possible move below would liquidate over $860 million worth of cumulative leveraged short positions, according to Coinglass data.