Bitcoin (BTC) is exhibiting a textbook Bump-and-Run Reversal (BARR) setup on the 4-hour chart, a pattern that often precedes sharp upside expansions after prolonged corrections.
The structure now points to a potential recovery rally toward the $98,000 zone.
During the lead-in phase, BTC trended lower along a steady descending trendline, reflecting controlled selling pressure rather than panic. This established the broader corrective structure.
The market then entered the bump phase, where the price broke sharply below the trendline and flushed into the low $80,000s. That move was accompanied by a clear spike in volume, signaling forced selling and short-term capitulation.
What followed was a stabilizing rebound that set the stage for the run phase.
Bitcoin has since reclaimed the broken trendline and is consolidating above it, a critical signal that downside momentum is fading.
If the pattern continues to play out, the measured move from the depth of the bump is expected to target the $97,000–$98,000 range. As long as Bitcoin holds above the reclaimed trendline, the $98,000 objective remains firmly in focus.
Beyond technical structure, onchain liquidity trends add weight to Bitcoin’s bullish BARR setup.
Stablecoin supply, the primary fuel for crypto trading and derivatives, continues to expand, signaling fresh capital entering the ecosystem rather than mere price rotation.
According to data from CryptoQuant, ERC-20 stablecoin supply has climbed to record highs in 2025, reflecting sustained demand from institutions, ETFs, and large traders positioning ahead of directional moves.
Rising stablecoin balances increase available buying power on both spot and derivatives markets, improving the odds that breakouts are supported rather than faded.
With stablecoin liquidity still trending higher, the underlying conditions appear supportive of Bitcoin’s recovery structure, reinforcing the $98,000 upside target as more than just a chart-driven projection.
Yashu Gola is a crypto journalist and analyst with expertise in digital assets, blockchain, and macroeconomics. He provides in-depth market analysis, technical chart patterns, and insights on global economic impacts. His work bridges traditional finance and crypto, offering actionable advice and educational content. Passionate about blockchain's role in finance, he studies behavioral finance to predict memecoin trends.