Bitcoin News Today: Bitcoin Dips 6.8% Below $115K as Galaxy Digital's $2B BTC Transfer Triggers Sharp Correction

Bitcoin’s price dipped below $115,000 on July 12, 2025, as a massive transfer of 17,123 BTC—worth nearly $2 billion—by Galaxy Digital to centralized exchanges triggered a sharp correction. The movement, which included over 10,000 BTC deposited within 8 hours, originated from a dormant “Satoshi-era” wallet holding 80,000 BTC that had not been active for 14 years. The transfer intensified selling pressure, pushing Bitcoin’s price to a low of $114,770 and triggering $585 million in long position liquidations across crypto markets, with $140 million attributed to BTC alone [1].

Blockchain intelligence firm Lookonchain highlighted the scale of the selloff, noting Galaxy Digital had deposited 2,850 BTC ($330.44 million) to exchanges just 11 minutes prior to the price dip. The firm also observed that Galaxy had previously withdrawn 370 million USDT from exchanges like Bybit and Binance, signaling a strategic shift in liquidity management [1]. The move rattled investors, with many questioning whether BTC could sustain its upward trajectory amid such large-scale selling.

Market sentiment turned cautious ahead of the U.S. Federal Reserve’s monetary policy meeting and the anticipated release of a key crypto policy report. Despite the pullback, the broader crypto market remained bullish, as reflected in a “Greed” score of 70 on the Crypto Fear and Greed Index. Analysts, however, cautioned against premature conclusions, noting that the market exhibited caution rather than panic. “Panic often has volume and considerable volatility, which we don’t have currently,” one observer remarked [1].

Bitcoin’s price trajectory over the preceding week showed significant volatility. It reached a record high of $123,091 on July 7 but lost momentum as traders locked in profits, retreating to $115,701 intraday before partially recovering. The price fluctuated through the following days, briefly reclaiming $119,000 on July 10, only to face renewed selling pressure on July 12. By July 14, BTC traded around $116,984 after recovering from its intraday low of $114,770 [1].

Crypto traders attributed the sell-off to leveraged long positions in altcoins collapsing as market makers exploited liquidity imbalances. “This dump is a pure leverage flush,” noted Ash Crypto, a trader on X, explaining that latecomers to altcoin longs were liquidated as Ethereum’s rally drew speculative capital away from BTC [1].

While Galaxy Digital’s actions dominated short-term price dynamics, long-term optimism persisted. Michael Novogratz, CEO of Galaxy Digital, and other industry figures have previously forecasted higher prices for Bitcoin. However, analysts emphasized the need for caution, with one stating, “Time to watch for sure though,” as markets navigated the interplay of institutional selling and macroeconomic uncertainty [1].

Source: [1] [Bitcoin Price Analysis: BTC Dips As Massive Transfer Impacts Prices] [https://bitzo.com/2025/07/bitcoin-price-analysis-btc-dips-as-massive-transfer-impacts-prices]