Bitcoin News Today: Bitcoin's $115K Threshold Becomes a Battlefield for Bull and Bear Bets

Bitcoin’s recent price volatility has sparked significant market reactions, particularly in the derivatives segment. On August 14, Bitcoin reached an all-time high of $124,517 before retreating, causing a cascade of liquidations across major centralized exchanges. According to on-chain data, when Bitcoin falls below $115,000, the aggregate short liquidation volume across mainstream centralized exchanges (CEX) is projected to reach approximately $1.734 billion. This level of liquidation indicates a heightened sensitivity in leveraged positions, especially among longs, as the market remains in a fragile consolidation phase [1].

The correction from the ATH has seen Bitcoin fluctuate between key support levels. As of late August 2025, the price stabilized around $113,800, with weekly trading volumes reaching $48 billion, a 34% increase from the previous week. This uptick in volume suggests renewed market participation despite the pullback [2]. The long-term bullish trend remains intact based on the 200-day and 50-day simple moving averages (SMA), but the short-term SMA of 20 days has flattened, signaling possible stabilization or a retracement phase. Momentum indicators like the RSI and MACD show a slight bearish divergence, highlighting the potential for a short-term correction [2].

Derivatives market activity further underscores the precarious balance in the market. Open interest in Bitcoin futures is declining, a sign of reduced speculative positioning and waning aggressive trading. The cumulative volume delta (CVD) shows a dominance of selling pressure, with the majority of liquidations impacting long positions. Despite this, the funding rate for perpetual futures remains elevated and positive, maintaining a bullish bias for long positions. However, this premium is expected to act as a drag on new short-term exposure [2].

The price behavior of Bitcoin has also triggered a shift in market sentiment. The Fear & Greed Index currently reflects a state of fear, indicating a departure from the euphoric phase following the ATH. Institutional investors have also been net sellers, with moderate outflows from spot Bitcoin ETFs aligning with the recent consolidation [2]. Additionally, liquidation hotspots have been identified across multiple price levels. On the upside, resistance is concentrated around $119,750 to $125,000, with a potential for increased volatility if these thresholds are breached. On the downside, buying liquidation zones have formed near $111,000, $107,000, and $105,000, which could trigger flush-type movements if these supports break [2].

Market participants are closely monitoring the potential for either a continuation of the bullish trend or a deeper correction. A bullish scenario would require Bitcoin to hold above $111,900, with potential targets at $124,533 (the previous ATH), $127,369, and $132,815. Conversely, a breakdown below $111,900 could lead to a bearish scenario with targets at $107,555, $105,200, and even $100,000. The outcome of this critical juncture will likely depend on the interplay of technical levels, macroeconomic factors, and the evolving regulatory landscape for cryptocurrencies [2].

Source: [1] Bitcoin Crashes Below $115000 — Could This Be the Top? (https://www.ccn.com/analysis/crypto/bitcoin-btc-price-crash-liquidation/) [2] Bitcoin Faces Post-ATH Correction – Technical Analysis for ... (https://www.cointribune.com/en/bitcoin-starts-a-correction-after-its-all-time-high-technical-analysis-of-august-20-2025/)