Bitcoin News Today: Bitcoin Falls Below $114,000 As Bearish Sentiment Intensifies

Bitcoin’s recent drop below $114,000 has intensified market scrutiny, with analysts divided on whether the move signals a deeper correction or a short-term pullback. The breakdown from a rising wedge pattern confirmed a bearish shift in sentiment, exposing Bitcoin to potential retracements toward the $94,000 level. This follows weeks of consolidation between $101,000 and $114,000, with the measured move now projecting further downside [1]. The $105,000–$107,000 region is seen as a key support zone due to prior accumulation and retests, making it a critical area for the next price action [2].

The move below $114,000 also reflects a broader shift in market dynamics. On-chain data shows a sharp increase in short-term holder inflows to Binance, rising from around 10,000 BTC to over 36,000 BTC by the end of July, signaling retail investors locking in profits amid rising volatility [4]. Meanwhile, large Ethereum holders have shown a more bullish stance, withdrawing over $900 million in ETH from centralized exchanges—a sign of accumulation and long-term positioning [4]. This divergence underscores a growing strategic split between retail and institutional investors, with the latter showing increased confidence in Ethereum.

Despite the bearish near-term momentum, Bitcoin remains above a long-term ascending trendline, preserving the broader bullish structure on higher timeframes [5]. A successful retest of the $113,000–$115,000 support band could stabilize the price, but a break below that level would likely deepen the correction. The Bitcoin 30-day skew flipped from +3% to -1.5%, indicating a bearish tilt in the options market and rising demand for downside protection [4]. This shift coincided with a $900 million liquidation event on August 1, highlighting the heightened volatility and macroeconomic uncertainty driving trader behavior [2].

Analysts remain cautious as the third quarter progresses. While some view the pullback as a consolidation phase rather than the start of a larger downtrend, the accumulation of selling pressure and macroeconomic headwinds suggest prudence is warranted [2]. The broader market is closely watching whether Bitcoin can re-establish control above key support levels or if it will continue to test previous consolidation zones.

[1]https://www.ainvest.com/news/bitcoin-news-today-bitcoin-futures-fall-1-95-price-consolidates-key-114k-115k-cme-gap-support-2508/

[2]https://m.fastbull.com/news-detail/bitcoin-slides-below-115k-as-tariff-shock-hits-4338007_0

[4]https://cryptoadventure.com/retail-dumps-bitcoin-btc-whales-go-heavy-on-ethereum-eth/

[5]https://www.tradingview.com/markets/cryptocurrencies/ideas/page-21/