Bitcoin News Today: Bitcoin Falls Below $115,000 as $500M in Liquidations Trigger 11-Day Low

Bitcoin and the broader cryptocurrency market faced a sharp correction on August 18, 2025, with nearly $500 million in liquidations reported across exchanges. The sell-off primarily targeted leveraged long positions, with over $450 million in trades closed within a single day, according to data from CoinGlass [1]. This wave of liquidations triggered a 2.2–3% drop in Bitcoin prices, pushing the price below $115,000, an 11-day low [1]. Ethereum also declined significantly, falling below $4,300, while Solana (SOL), Dogecoin (DOGE), and XRP all experienced losses in the 4–5% range [1].

The decline was driven by a combination of profit-taking after recent all-time highs and broader macroeconomic uncertainties. The selloff accelerated at the start of the week as U.S. futures markets reopened and Asian trading hours resumed, adding to the volatility and triggering panic among leveraged traders [1]. The rapid and sharp nature of the price drop was unusual for a market that had previously shown strong momentum, dragging the broader market into a downward spiral [1].

Notable developments during the downturn included Michael Saylor’s MicroStrategy, which maintained its position as the largest Bitcoin holder globally, with no sales since 2020 [1]. In contrast, Metaplanet reported a 50% loss on its recent $2.2 billion Bitcoin investment, underscoring the financial risks of leveraged exposure [1]. Institutional buying of Bitcoin had reached $79 billion year-to-date, but recent price swings have resulted in significant losses for investors [1].

Market experts have highlighted the fragility of leveraged positions in crypto, with Mike Novogratz of Galaxy Digital warning against overly optimistic forecasts for Bitcoin. He emphasized that a consolidation phase is more likely for the remainder of the year [1]. Meanwhile, analysts suggest that Ethereum’s recovery will depend on its developer activity and total value locked (TVL), with potential retracements expected if key metrics fail to stabilize [1].

On-chain data indicates significant validator exits and outflows, reflecting heightened market stress [1]. While Bitcoin has temporarily held the $115,000 support level, the continued unwinding of leveraged positions means the risk of a self-reinforcing selloff remains high. Market participants are closely watching whether the price can stabilize above this level or if further declines are imminent [2].

The broader impact of the selloff is evident in the scale of liquidations, with some reports estimating over $1 billion in crypto positions wiped out [3]. As the market digests this volatility, the focus remains on whether key support levels can hold and whether macroeconomic factors will continue to weigh on risk-sensitive assets [3].

Source:

[1] Bitcoin Tanks to 11-Day Low as Nearly $500M Liquidations Sweep the Market (https://cryptopotato.com/bitcoin-tanks-to-11-day-low-as-nearly-500m-liquidations-sweep-the-market/)

[2] Bitcoin (BTC) Price Analysis - Daily Updates (https://cryptopotato.com/bitcoin-price-analysis/)

[3] Weekly Crypto News (4-11 Aug, 2025) (https://coindcx.com/blog/crypto-news-weekly/crypto-roundup/)