Bitcoin News Today: Bitcoin's 2% price dip sparks bid liquidity absorption as $113,000 support tested

Bitcoin’s recent price correction has sparked a surge in bid liquidity absorption as the cryptocurrency tests key support levels amid a broader market reassessment. Following a brief climb above $120,000 in early June 2025, BTC/USD plummeted over 2% to $113,000, triggering a wave of buying activity at lower price points [1]. This liquidity grab, observed by traders and analysts, reflects institutional and retail participants stepping in to accumulate Bitcoin during volatility, a common dynamic in markets with elevated open interest [2]. The move has intensified speculation about the cryptocurrency’s near-term trajectory, with some projections suggesting a potential retest of the $113,000 level and a longer-term rebound toward $138,000 [3].

The price action aligns with classic technical patterns, as highlighted by market commentator Michaël van de Poppe. He noted that the recent rally to $120,000 lacked sustained momentum, characterizing it as a liquidity sweep rather than a genuine breakout [1]. “The asset is likely to retest the range lows again,” he concluded, emphasizing the need for consolidation before a sustained upward move. Meanwhile, Fibonacci retracement levels have drawn attention to $113,000 as a critical support zone, with analyst Crypto Virtuos projecting a 6-7% correction could push prices to this level before a potential rebound [3]. This analysis contrasts with cautionary warnings about market “froth,” particularly in altcoin markets, where record-high open interest (OI) has raised concerns about fragility [1].

Data from derivatives platforms underscores the heightened volatility. Over $500 million in liquidations occurred in the past 24 hours, with a $3.97 million ETHUSDT position on Binance being the largest single event [1]. CoinGlass attributed this to concentrated liquidity pockets near the spot price, noting the “juicy” leverage dynamics in both long and short positions [1]. The firm’s analysis further highlighted the risks of overextended positions, as elevated OI across top altcoins—surpassing $40 billion—has created a reflexive environment where sharp corrections could amplify downside volatility [1]. Onchain analytics firm Glassnode echoed these concerns, warning that “froth” in altcoin markets may leave the sector vulnerable to sudden selloffs [1].

Despite the short-term turbulence, some analysts remain optimistic about Bitcoin’s resilience. Crypto Virtuos, for instance, cited Fibonacci projections suggesting a potential rebound to $138,000 if support at $113,000 holds [3]. However, the path to this target remains contingent on liquidity accumulation at critical thresholds. Traders are closely monitoring the $117,500 level, which analysts previously identified as a key zone for bid liquidity [1]. Van de Poppe’s assessment that the market is “back in the range” highlights the ongoing tug-of-war between buying and selling pressure, with further dips potentially triggering stop-loss orders or forced liquidations [1].

The broader market context adds complexity to Bitcoin’s outlook. Macroeconomic factors, including Wall Street’s risk appetite, continue to influence crypto demand [2]. Yet, the presence of concentrated liquidity pockets suggests that even modest price movements could trigger cascading effects, particularly in leveraged positions. As the cryptocurrency navigates this pivotal phase, participants are advised to monitor on-chain metrics and order-book dynamics for early signals of shifting demand. The interplay between liquidity absorption and price action will likely determine whether Bitcoin’s 2025 narrative leans toward consolidation or a new bullish cycle.

Source: [1] [Bitcoin grabs bid liquidity as BTC price dip targets include $113K](https://cointelegraph.com/news/bitcoin-grabs-bid-liquidity-btc-price-targets-include-113k)

[2] [BTCUSD - Bitcoin grabs bid liquidity as BTC price dip targets](https://mx.advfn.com/bolsa-de-valores/COIN/BTCUSD/crypto-news/96483638/bitcoin-grabs-bid-liquidity-as-btc-price-dip-targe)

[3] [Bitcoin (BTC) Price Forecasts, Predictions & News](https://www.fxempire.com/crypto/bitcoin/news)