Bitcoin News Today: Bitcoin Surges 13% but Faces Critical $108K Test as Rising Wedge and Institutional Uncertainty Loom

Bitcoin’s recent price trajectory has drawn intense scrutiny as it navigates critical support levels amid mixed signals from technical indicators and institutional dynamics. The cryptocurrency has surged approximately 13% over the past month, currently trading at $118,090, but faces a pivotal test at the $108,000 level, a threshold that analysts warn could determine the continuation of its uptrend. DonAlt, a prominent cryptocurrency analyst, has highlighted the fragility of this rally, noting that a breakdown below $108,000 could trigger a 9% decline, signaling structural weaknesses in the market [1]. This caution is compounded by the emergence of a “rising wedge” pattern—a bearish consolidation structure—between $110,000 and $119,500, which has raised concerns about a potential collapse below the $100,000 threshold [2].

Institutional demand remains a double-edged sword. While current treasury purchases have provided some stability, a slowdown or halt in corporate Bitcoin acquisitions could introduce significant selling pressure. DonAlt emphasized that such a scenario would likely end the uptrend and force a sharp price correction [3]. On-chain data further underscores this vulnerability, showing concentrated liquidity in the $110,000–$119,500 range. A failure to sustain buying activity here could lead to a breakdown below $115,600, potentially testing the $110,000–$112,000 accumulation zone [4].

The market’s broader dynamics are complicated by the divergence between Bitcoin and altcoins. While Bitcoin lingers in a sideways pattern, altcoins have surged, driven by record leverage in sectors like AI tokens, DeFi, and meme coins. Open interest in altcoins such as Ethereum and XRP has reached $45 billion, reflecting aggressive speculative positioning [5]. Analyst Michaël van de Poppe has noted that Bitcoin’s indecision has ceded momentum to altcoins, raising systemic liquidity risks as traders shift capital away from the flagship asset [6]. Regulatory developments under the Trump administration, which have provided clearer guidelines for crypto assets, have further fueled altcoin optimism, though Bitcoin’s on-chain metrics remain mixed.

Bitcoin’s near-term outlook hinges on its ability to break out of its consolidation range. A sustained move above $119,500 could reignite bullish momentum, while a drop below $115,600 risks reigniting bearish sentiment. The $117,000 level, currently holding firm, remains a critical psychological barrier. Traders are closely monitoring volume and liquidity shifts for clues, as institutional activity and macroeconomic factors will likely dictate the asset’s trajectory [7].

Source:

[1] [Bitcoin’s Surging Price Faces Critical Support Test](https://coinmarketcap.com/community/articles/68835a4b2fb07463b9e437e3/)

[2] [Bitcoin News Today: Bitcoin Faces Renewed Bearish Pressure](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-faces-renewed-bearish-pressure-analyst-warns-100k-collapse-rising-wedge-pattern-2507/)

[3] [Bitcoin Holds Key $117K Support](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-holds-key-117k-support-risk-sharp-decline-breakdown-occurs-2507/)

[4] [ChatGPT's BTC Analysis Flags $120K Test](https://cryptonews.com/news/chatgpts-42-indicator-btc-analysis-flags-critical-120k-test-amid-altseason-uncertainty-and-treasury-surge/)

[5] [Altcoins Surge as On-Chain Data Shows Bitcoin Is Stuck](https://coinedition.com/for-the-first-time-in-two-years-more-money-is-trading-ethereum-than-bitcoin/)

[6] [Bitcoin Stalls Below Resistance](https://coinedition.com/for-the-first-time-in-two-years-more-money-is-trading-ethereum-than-bitcoin/)

[7] [Altcoins Outpace Bitcoin](https://coinedition.com/for-the-first-time-in-two-years-more-money-is-trading-ethereum-than-bitcoin/)