Bitcoin News Today: Bitcoin at a Crossroads: $110K Could Seal Its Fate

Bitcoin is currently at a pivotal juncture, with price levels around $110,000 and $100,000 becoming focal points for investors and traders. The cryptocurrency fell to a seven-week low on August 26, 2025, hitting $108,700 after a significant sell-off triggered over $758 million in liquidations. This price drop follows a sharp correction from its all-time high of $124,533 on August 14. Analysts are closely monitoring the $110,000 level, which has been labeled a “make-or-break” zone. If this level fails, further declines to $105,000 or even $100,000 could follow, as noted by Swissblock and AlphaBTC [1].

Technical indicators also support the bearish case. The relative strength index (RSI) has fallen below 50, indicating bearish momentum, while the moving average convergence divergence (MACD) remains in negative territory, signaling ongoing selling pressure [1]. A bearish divergence has also emerged between Bitcoin’s price and the RSI, suggesting weakening demand. Key support levels around $107,000 and $100,000 are being watched, with the latter sitting just below the 200-day moving average and a horizontal line connecting significant trading activity between November and June 2024 [1]. Meanwhile, resistance levels at $117,000 and $123,000 are seen as potential turning points for any recovery [1].

Market fundamentals add to the uncertainty. Large investors have been liquidating positions, and Bitcoin ETFs have experienced outflows, with more than $1 billion in withdrawals last week—their worst week since March 2025 [2]. Additionally, a major whale with $11.4 billion reportedly sold a portion of its Bitcoin holdings to shift capital into Ethereum, accelerating investor rotation to altcoins [2]. This trend is compounded by broader macroeconomic factors. The Federal Reserve’s dovish stance has supported risk assets, but September has historically delivered limited gains for Bitcoin, with Q4 showing stronger performance [4]. On the other hand, global liquidity, particularly China’s economic data, could influence Bitcoin’s trajectory, with analysts noting that the crypto market tends to react months before liquidity peaks [5].

Despite the near-term weakness, long-term indicators remain bullish. Bitcoin’s hashrate reached 944 exahashes per second, while mining difficulty hit an all-time high of 129.7 trillion, reflecting growing security and infrastructure support [4]. Mining firms, including HIVE Digital Technologies, are expanding capacity, with plans to reach 25 EH/s by year-end [4]. Additionally, institutional accumulation is on the rise, with Japanese firm Metaplanet launching a $835 million Bitcoin buying program. The company plans to acquire 210,000 BTC by 2027, representing 1% of the total supply [4]. These developments, combined with the resumption of inflows into spot Bitcoin ETFs and the broader market’s focus on Ethereum, suggest that Bitcoin may enter a consolidation phase before potentially regaining dominance [4].

In conclusion, Bitcoin’s immediate outlook is bearish if the $110,000 level is breached, with a likely slide toward $105,000 or $100,000. However, long-term fundamentals, including institutional buying, mining expansion, and ETF demand, support a medium-term rally. Analysts project that if the Q4 seasonal pattern holds, Bitcoin could reach $150,000–$160,000 by year-end [4]. For now, traders are advised to monitor key levels and on-chain metrics, as Bitcoin remains at a critical inflection point.

Source:

[1] Bitcoin Price, BTC Price, Live Charts, and Marketcap (https://www.coinbase.com/en-gb/price/bitcoin)

[2] Ethereum rally continues as recent crypto softness puts bitcoin ... (https://finance.yahoo.com/news/ethereum-rally-continues-as-recent-crypto-softness-puts-bitcoin-price-at-inflection-point-183003036.html)

[3] Bitcoin Price to USD: China's Export Boom Could Trigger ... (https://thetradable.com/global-economy/bitcoin-price-to-usd-chinas-export-boom-could-trigger-massive-rally-3--v)

[4] Bitcoin Price Forecast: BTC-USD Holds ... - Trading News (https://www.tradingnews.com/news/bitcoin-price-forecast-btc-usd-struggles-at-111k-usd-as-110k-usd-tested)

[5] Bitcoin vs Global M2 Supply Growth Chart (https://newhedge.io/bitcoin/bitcoin-vs-global-m2-growth)