Bitcoin News Today: Bitcoin's Price Pivots on a High-Stakes Game of Institutional Demand and Profit Taking

Bitcoin's price has recently rebounded above $113,000, with market participants closely watching whether the cryptocurrency can push toward the $120,000 threshold. On-chain data reveals a mixed picture, with weakening demand and profit-taking activity contributing to the correction. For instance, Bitcoin Apparent Demand has dropped from a peak of 174,000 BTC in July to 59,000 BTC as of the latest report, while institutional demand has also slowed to 11,000 BTC, the lowest since April 25. Additionally, daily realized profits by Bitcoin holders spiked to $9 billion in July, further signaling ongoing profit-taking [5].

Key technical levels to watch include the 50-day Exponential Moving Average (EMA) at $114,886, which acts as a critical resistance. If Bitcoin continues its pullback, it may test support at $110,000, a level that represents the Trader On-chain Realized Price. This level is historically significant as it disincentivizes heavy selling during bearish momentum. The Relative Strength Index (RSI) currently reads 42 on the daily chart, below the neutral level of 50, suggesting bearish sentiment, while the Moving Average Convergence Divergence (MACD) also indicates a downward trend [5].

On the bullish side, if Bitcoin stabilizes and rebounds from the $112,000 support zone, it could potentially reach the 20-day EMA at $116,687. A close above this level may lead to a range-bound action between $110,530 and $124,474. Conversely, a breakdown below $110,530 could expose the market to further downside, with $100,000 being a key psychological support level [1]. Analysts and traders are also watching the inverse head-and-shoulders pattern that Bitcoin has formed, which could influence short-term price behavior [1].

The broader market environment has also played a role in Bitcoin’s recent performance. Traders are cautiously watching the outcome of the Jackson Hole Symposium and the preliminary S&P Global PMI data, both of which could influence risk appetite and investor behavior [4]. Additionally, the hawkish stance of the Federal Open Market Committee (FOMC) in its most recent meeting minutes has contributed to a more defensive market tone. The US Producer Price Index (PPI) data exceeded expectations, indicating a potential uptick in inflation, which has historically weighed on high-risk assets like Bitcoin [5].

Meanwhile, predictions about Bitcoin’s future price remain varied. Some analysts, citing Bitcoin’s limited supply and its growing institutional adoption, have made bold forecasts. For example, a prediction has emerged that Bitcoin could reach $500,000 by 2030, assuming continued outperformance over traditional assets like gold and stocks. This would require an annual growth rate of approximately 34% and a significant increase in market cap from its current $2.3 trillion to around $10 trillion [6]. The next Bitcoin halving, expected around April 2028, is also anticipated to play a role in price appreciation due to the reduced supply of new coins entering circulation.

Not all predictions have been bullish. Harvard University economist Kenneth Rogoff has revised his earlier projection, acknowledging he had underestimated Bitcoin's role in the global underground economy and overestimated the effectiveness of regulatory efforts to curtail its use. Rogoff now argues that the growing adoption of Bitcoin in illicit transactions provides a demand floor, which could support its price even in a bearish market [2]. He also points to the regulatory capture and conflict of interest, as regulators hold large amounts of cryptocurrencies without clear oversight [2].

As Bitcoin continues to test its critical support and resistance levels, investors and analysts remain divided on its near-term direction. The coming weeks will be crucial in determining whether the price can stabilize and build momentum toward $120,000 or whether it will face renewed bearish pressure. Market participants will be closely watching institutional behavior, macroeconomic indicators, and geopolitical developments for further clues.

Source:

[1] Price Predictions 8.20: BTC, ETH, XRP, BNB, SOL, DOGE, ADA, LINK, HYPE, XLM (https://cointelegraph.com/news/price-predictions-8-20-btc-eth-xrp-bnb-sol-doge-ada-link-hype-xlm)

[2] Harvard Professor Who Predicted Bitcoin Crash to USD100 Says Regulators Were Too Lax (https://www.coindesk.com/markets/2025/08/21/harvard-professor-who-predicted-bitcoin-crash-to-usd100-says-regulators-were-too-lax)

[3] Can BTC Recover After $112K Test and $1M Call? (https://cryptonews.com/news/bitcoin-price-forecast-can-btc-recover-after-112k-test-and-1m-call/)

[4] Cryptocurrencies Price Prediction: Ethereum, Bitcoin & Binance Coin (https://www.fxstreet.com/cryptocurrencies/news/cryptocurrencies-price-prediction-ethereum-bitcoin-binance-coin-european-wrap-21-august-202508211122)

[5] Bitcoin Price Forecast: BTC Steadies at $113,500 as Traders Await Powell Speech (https://www.mitrade.com/insights/crypto-analysis/bitcoin/fxstreet-BTCUSD-202508211740)

[6] Prediction: Bitcoin Will Be Worth $500,000 in 5 Years (https://www.nasdaq.com/articles/prediction-bitcoin-will-be-worth-500000-5-years)