Bitcoin News Today: Bitcoin drops below $119,000 after Galaxy's $9B sale 0.63% 24-hour decline

Bitcoin fell below $119,000 on July 26, 2025, marking a temporary pullback after weeks of volatility. The decline, which reduced its 24-hour growth to 0.63% [1], followed a strategic $9 billion Bitcoin sale by crypto lender Galaxy, which helped stabilize prices after an earlier dip to $115,000 [2]. Despite the short-term decline, institutional demand and post-halving supply dynamics continue to support long-term optimism for the asset. The move came amid broader market activity, including a 13% surge in trading volumes within 24 hours of breaking the $119,000 threshold, reflecting renewed investor confidence [3].

The price action followed a brief rally earlier in the week, during which Bitcoin surged past $119,000 driven by institutional adoption and expanded ETF offerings. U.S. spot Bitcoin ETFs recorded net inflows exceeding $2.5 billion over 30 days, with large-scale investors—including sovereign wealth funds and traditional finance players—contributing to the upward momentum [1]. Analysts attributed the broader trend to reduced post-halving supply and macroeconomic factors such as inflation-linked diversification [1]. However, the market remained susceptible to short-term shocks. A 3.5% intraday drop on July 20 temporarily pushed Bitcoin below $115,000, triggering leveraged liquidations and heightening sensitivity to institutional actions [4]. Buyers subsequently re-entered the market, pushing prices back toward $118,000 by midweek.

Market sentiment remains divided, with some analysts emphasizing the resilience of Bitcoin’s price action. Matt Hougan, CIO of Bitwise, noted that sustained institutional participation and regulatory clarity would likely outweigh cyclical pressures tied to Bitcoin’s four-year halving cycle [2]. Conversely, the market’s response to large-scale sales, such as a dormant whale’s $80,000 BTC transaction in early July, underscores its vulnerability to sudden supply shocks [4].

Projections for Bitcoin’s trajectory vary, with Citigroup forecasting a $135,000 target by year-end under a base-case scenario, driven by sustained ETF demand. The firm also outlined a more aggressive $199,000 projection if inflows exceed $15 billion and user growth surpasses 20% [5][6]. These outlooks highlight divergent views on Bitcoin’s path forward, with some analysts cautioning that regulatory shifts or interest rate adjustments could reintroduce volatility [1].

The post-halving environment has reinforced Bitcoin’s scarcity narrative, with tighter liquidity and reduced miner rewards bolstering price resilience. Cross-market flows have also benefited assets like Ethereum, reflecting broader adoption of crypto as a hedging tool [3]. As Bitcoin approaches key liquidation zones around $119,500–$120,000, market participants remain split between bullish and cautious stances. Sustained institutional inflows and macroeconomic stability will likely determine whether the asset consolidates its gains or faces renewed downward pressure.

Source:

[1] [Bitcoin News Today: Bitcoin Surges Past $119000 Driven ...] [https://www.ainvest.com/news/bitcoin-news-today-bitcoin-surges-119-000-driven-institutional-adoption-macroeconomic-factors-technological-advances-2507/]

[2] [Bitcoin Rebounds After Galaxy Completes Sale of $9B BTC ...] [https://cryptoadventure.com/bitcoin-rebounds-after-galaxy-completes-sale-of-9b-btc-from-satoshi-era-whale/]

[3] [Bit Digital Plans To Purchase More ETH – Is Ethereum ...] [https://www.mitrade.com/insights/news/live-news/article-3-990304-20250728]

[4] [Dormant Whale Sells $80000 BTC, But Bitcoin Bulls Still In ...] [https://www.tradingview.com/news/newsbtc:de831f846094b:0-dormant-whale-sells-80-000-btc-but-bitcoin-bulls-still-in-control/]

[5] [Citi's Bullish Bitcoin Outlook: $135000 by 2025's End] [https://cryptoadventure.com/citis-bullish-bitcoin-outlook-135000-by-2025s-end/]

[6] [Wall Street's Bold Bet: Bitcoin Could Hit $200K By ...] [https://www.mitrade.com/insights/news/live-news/article-3-989308-20250726]