As the unofficial almost psychologist on the forum, I agree that your issue is more psychological than technique.  You are definately reliving the event & all your thoughts associated w/ this event is what is getting in your way.  W/ that, you know how to pick him up, you know how to hold him, you know all of this…..so now the way to overcome your fear.  Here’s my  “cut to the chase” therapy technique…..you need to tell those thoughts to “SHUT UP!”  No really….as soon as it comes into your head start saying “Shut up…I know what I’m doing!”  Repeat this throughout the process of picking him up.  The only time you don’t want to say “Shut up” to yourself, is if you are hyperly sensitive to telling yourself to shut up  No really this is an authentic therapy technique…I’ll send you my bill

This is totally understandable. (((((hugs)))) I am still having issues with lifting Mimzy from his pen, and I’ve had him almost two whole years now.
This is going to sound totally stupid but, do you perhaps have a stuffed bunny that you can practice on? (I mean, just to give yourself more confidence?) I often practice picking up and holding one of my own lifelike stuffed bunnies to make myself feel more capable when it comes to holding the real thing. (I think I may even begin practicing toenail trims with one, just for the heck of it actually! ^_^ )

As far as Little Bits’ nervous reaction, I am sure that as soon as you feel more confident lifting her up, the more relaxed she’ll be…and if you could offer her a treat every time you make the attempt, successful or not, she may come to associate being lifted and held with a goodie. (And hey, give yourself a treat too, this is hard work! )

Any time you want to pick her up, and you’re not sure of how well you can do it, it’s best to start with a low ceiling..i.e., maybe while she’s tooling around on the floor, you could just a have a moment with her and give her some pets first, gently try to get your arms around her and lift just a little, then if she does struggle, she doesn’t have far to go and you can just try to soothe her a much as possible from wherever the two of you wind up at that point…make sense? I know with Mimzy, I still flip out if he gets squirmy, but if I do my best to keep a position of authority and speak to him in a relatively calm voice and let him know it’s okay, then I find he actually settles down quickly and is ready for me to try again.
We also have a specific time of day we try this. (Routine, routine, routine!) In fact, today I was completely overwhelmed with chores, and every time I went by his pen at this particular time, he would come up to the side of it and give me this look like, “Now? We play now?” I felt bad as I had no time to do this with him and he was obviously eager to give it a try.

I think there’s a thread somewhere in Diet and Care or the main Q & A section where I asked this question. I think the general consensus was:
Do not try to pick your bunny up by the scruff of his neck. Now it’s okay to gently pin the shoulders there, and that sometimes gives a bunny the signal that it is not to move (it’s actually a part of it’s sense of surrender when a predator picks it up…terrible I know, but for some reason it’s less stressful than you’d think for them) and by then you can get your arm under the back legs and body and attempt a lift. I believe there’s also a video on YouTube somewhere that illustrates how to properly lift them to avoid injury.

Sarah…I know it’s hard to think of this, especially with what happened to Binkles. I have had some close calls with my buns at the vet…THAT ACCIDENT COULD HAVE HAPPENED TO ANYONE. I am just very, very sorry it happened to you and Binkles.

And I can’t tell you how sorry I am that this still plagues you, but it doesn’t surprise me either because I know I’d feel the exact same way. I have had both Mimzy AND Pip go right over my shoulder when holding them. And when Mimzy first came home, I had accidentally startled him and he went over the top of his outdoor run and into mid air…falling down about four feet to a hardwood floor in the Bun-Galow in the back yard and I was terrified it had fatally injured him. (This also was when I thought he was a she and I instantly began thinking that if there was a litter of kits present it would be lost…it was horrible! I feel silly for worrying about what wasn’t possible now, but this incident had a hand in leading me here so that was good.) I’d sure like to see you become more comfortable with Little Bit (and she with you) so that you both work together as a team when it comes to things like vet visits, or any moving you may have to do in the future.

I am a one to talk, as Fiver is still not quite at ease with me holding him, but it’s necessary, no matter how it bothers him, for things like toenail trims (badly needed right now) and tending his hocks. I usually have my daughter assist with these tasks, and two on one definitely sends the odds up in my favor. He is a VERY jumpy bunny! I also keep some Rescue Remedy for him (and sometimes for me!) on hand to spray on a bit of APD cookie to settle him down afterward as he gets pretty huffy-puffy. But a few moments later all is forgotten and forgiven.

I am sure one of the other members/forum leaders can give you much more practical instructions on this topic, but I just wanted to put my two cents in and I will keep you and Bit in my thoughts and prayers that this challenge will soon present no problem for either of you.

Awe. I do understand how something like this could haunt you. I am so sorry. This happened to me at the rabbit shelter before, both Marcy and I freaked! But thank god the bunny ended up okay, but still, it was so scary! This has happened to people who handle bunnies all the time. Sometimes a bunny move can just really catch us completely off guard. It did make me feel very insecure for a bit, but one thing that did help me was just to emerse myself in holding again. Marcy got me right back into holding and I was given the great advice just to hold and stay low until I felt more and more confident. 

So maybe just start to pick lil’ bit up more often, and if you are still feeling shakey, just stay lower to the ground (kneeling). Have someone near by who can give Lil’ Bit a treat when she’s being held (that way you don’t have to let go or move your hands around at the the same time you are holding). With more “holding” exposure, hopefully your confidence will be restored.

I hope I didn’t sound mean or abrupt…..I definately empathize w/ all that your’ve been through & can definitely understand your trepidation.  I just think its your cognitiions that are getting in the way.  Yes you can behavioral practice & “sensitize” yourself to the experience….i.e practice in various manners (little by little), monitor environment, etc.  I agree that would be incrediably beneficial & help put your mind at ease.  HOWEVER, I think you have the skill & ability and it’s your cognitions/thoughts that are freaking you out.  That’s why I suggested changing that cognition/thought associated w/ that behavior.  I hope that made sense.  Again, I only wish you the best w/ this situation.