Bitcoin News Today: Bitcoin Falls 1.20% Below $117,000 as Short Positions Dominate Derivatives Market

Bitcoin (BTC) experienced a brief but notable dip below $117,000 amid intensifying selling pressure on Friday, following a week of significant price volatility and a record-breaking all-time high above $124,000. The cryptocurrency had surged past $124,000 earlier in the week before rapidly losing momentum and retreating to levels closer to $118,000, indicating a shift in investor sentiment and increased bearish activity. Over the past 24 hours, BTC settled at approximately $117,600, reflecting a 1.20% decline.

The sell-off was exacerbated by macroeconomic headwinds and a growing dominance of bearish positions in the derivatives market. An analysis of Bitcoin perpetual futures long-short ratio data revealed that short positions held an edge over long positions, with the former accounting for 51.8% of open positions compared to 48.51% for longs. This trend was particularly evident on major exchanges like Binance and Bybit, where short positions dominated with 51.38% and 53.89%, respectively [1]. These figures suggest that traders are increasingly betting on further downward price movement, signaling a pessimistic outlook for BTC in the near term.

The recent price action followed a week of fluctuation, with BTC starting the week at around $115,000 before briefly falling below $112,600 on Tuesday. Buyers regained control on Wednesday, pushing the price back above $115,000 and into positive territory. By Thursday, bullish sentiment had intensified, leading to a rally above $117,000 and a settlement at $117,515. However, the gains were short-lived as BTC turned negative on Friday, closing at $116,683. A minor rebound on Sunday pushed the price back above $119,000, though the broader market remains under pressure [2].

The week’s high point came on Monday, when BTC hit an intraday high of $122,319. It briefly dipped afterward but recovered on Tuesday to settle at $120,113. The bullish momentum continued on Wednesday with a 3% surge that pushed the price above $123,000. However, the rally culminated in a record high of $124,533 on Thursday, which was followed by a sharp reversal as the market struggled to maintain the upward trajectory.

While the price has since stabilized and is trading at approximately $117,730, the inability to reclaim key resistance levels highlights the fragility of the current rally. Analysts suggest that the market is still in a phase of consolidation, with the long-short ratio serving as a key indicator of potential downward pressure. Traders are advised to monitor these metrics closely, as they may provide early signals of further market corrections.

The broader cryptocurrency ecosystem continues to evolve, with notable developments in corporate Bitcoin strategy. Strategy Inc. — formerly known as Microstrategy Inc. — officially rebranded on August 11, 2025, solidifying its identity as a Bitcoin treasury enterprise. The firm reiterated its commitment to accumulating BTC as its primary reserve asset, leveraging debt, equity, and operating cash flow. Similarly, Canadian tobacco company Harrys became the first publicly traded tobacco firm to allocate a portion of its treasury to Bitcoin, acquiring 0.1525593 BTC for $25,000. The company has also established a corporate cryptocurrency account with Bitbuy, further signaling the normalization of Bitcoin as a strategic asset.

In the mining sector, Hive Digital Technologies reported robust performance in its latest quarter, with Bitcoin mining revenue reaching $48.8 million for the first quarter of the fiscal year 2026. The company credited a 47% increase in average hashrate and improved mining efficiency for the surge in production, which contributed to nearly 90% of its total revenue. Hive’s CEO expressed optimism about future capacity expansion, with plans to reach 25 EH/s by the end of the year.

The recent volatility in Bitcoin’s price underscores the challenges facing the market as it continues to navigate macroeconomic uncertainties and shifting investor sentiment. While short-term fluctuations are expected, the long-term trajectory of BTC remains dependent on broader economic conditions, regulatory developments, and continued institutional adoption.

[1] https://bitzo.com/2025/08/bitcoin-price-analysis-btc-briefly-tumbles-below-117000-as-selling-pressure-spikes