Key takeaways:
Bitcoin surged above $111,000 on Monday, driven by improving macro conditions and a potential US-China trade deal.
Technical analysis shows bull flags targeting $186,000-$192,000 BTC price in the weeks ahead.
Bitcoin (BTC) rose back above $111,000 at the start of the European trading session on Monday as improving macroeconomic conditions sparked renewed investor confidence.
Macro data gives bullish cues to Bitcoin
Bitcoin price topped $111,430, rising 4% over the last 24 hours and up 7.6% above Friday’s low of $103,530, according to data from Cointelegraph Markets Pro and TradingView.
Related: Bitcoin’s next rally will start once OGs finish selling: Analysts
Other top-cap cryptocurrencies took cues from Bitcoin, with Ether (ETH) rising 4.6% to reclaim the key $4,000 level.
XRP (XRP), Solana (SOL), BNB (BNB) and Dogecoin (DOGE) rose 3% to 5% over the past 24 hours. The global crypto market capitalization was up 4.6% to $3.78 trillion.
The latest rebound in Bitcoin has been driven by improving macroeconomic conditions, with US President Donald Trump confirming a summit with China’s Xi Jinping on Oct. 31.
The de-escalation of tensions and growing chances of a trade deal between the US and China are positive price catalysts for cryptocurrencies.
Crypto prices had recently slumped from major macroeconomic headlines, including Trump’s China tariffs announcement and mounting concerns regarding US regional banks’ involvement with bad loans.
Meanwhile, market participants are pricing in a 99% chance of a 25-basis-point rate cut at the Oct. 28-29 FOMC meeting, according to the CME Group FedWatch tool, which would lower rates to 3.75%-4%.
Fed Chair Jerome Powell recently hinted at a possible end to quantitative tightening (QT) soon, potentially by January 2026. This could unleash more liquidity, echoing the surge in 2021 crypto prices.
Bull flags converge at $190,000 BTC price target
From a technical perspective, Bitcoin’s latest rebound on Monday follows a bullish signal from the RSI. As the momentum indicator hit its lowest since April on the daily chart, it showed a clear bullish divergence on the four-hour chart, creating higher lows as the BTC/USD pair hit 15-week lows at $103,500.
This was an indication that the sell-side pressure was waning, as traders bought more on the dips.
The macro setup reinforced Bitcoin’s strength in higher time frames, with the two-week chart revealing multiple bull flags projecting higher targets for BTC.
The first is a larger bull flag that formed between September 2023 and October 2024, as shown in the chart below. The flag, which was validated during the 2024 US election rally and is still in play at the time of writing. This flag has a measured target of $192,000.
The second bull flag formed between September 2024 and December 2024 and has a target of $186,000.
The third one is a smaller flag and has been in formation since March this year. It will be confirmed once the price breaks above the upper boundary of the flag at $115,000. Such a move would open the door for a rally toward the measured target at $192,000, coinciding with the targets above.
A similar, albeit more bullish, outlook was shared by analyst Mags, who said Bitcoin could continue rising within an ascending channel on the weekly chart, peaking within the $250,00-$290,000 area.
Fellow analyst Aksel Kibar has a more conservative target for Bitcoin, saying that an inverse head-and-shoulders pattern was still in play with a measured target of $141,300.
Weekly scale chart, $BTCUSD holding the neckline. Range still 109K-124K. pic.twitter.com/jZQwVO48Ch
— Aksel Kibar, CMT (@TechCharts) October 20, 2025
As Cointelegraph reported, Bitcoin’s weekly close above $108,000 is a clear sign that the bulls are ready to resume the uptrend with the key support level reclaimed.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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