Bitcoin News Today: Bitcoin Holds Above $113 500 Despite $630M Trader Losses

Bitcoin has shown surprising stability in a volatile market, resisting sharp declines and maintaining a firm stance above key support levels. Despite a correction that saw the cryptocurrency fall below $115,000 on August 2, analysts suggest that this downward movement is part of a normal cyclical pattern rather than a sign of a prolonged bearish trend. Master Ananda, a prominent analyst, views the nearly 10% drop from Bitcoin’s recent high as a consolidation phase that has historically preceded record-breaking surges, provided critical support levels remain intact [3].

The current price, hovering above $113,500, has triggered attention from both retail and institutional observers. Ananda emphasized that $100,000 serves as a critical psychological and technical support level, with $106,000 and $102,000 acting as interim floors. According to Ananda’s analysis, a halt in the downward movement within the $110,000 to $100,000 range would reaffirm the long-term bullish narrative for the asset [3]. Meanwhile, Ali Martinez, citing data from Glassnode, points out that a significant cluster of 111,000 BTC at $107,160 could absorb sell pressure and prevent a deeper pullback [3].

Market analysts also highlight the role of reduced miner sales and an increasing number of long-term wallets, suggesting that the market may be in a phase of accumulation rather than distribution. This is further supported by the observation that the cryptocurrency has not dipped below $110,000 on a weekly basis, a key threshold for maintaining the long-term uptrend [3].

The recent price decline, however, was driven by broader macroeconomic factors. Weak U.S. employment data, coupled with the re-introduction of Trump-era tariffs, have heightened uncertainty and prompted short-term profit-taking [4]. These developments, paired with the Federal Reserve’s decision to maintain interest rates, have dampened risk appetite and led to a broader market sell-off across crypto assets [4]. Over $110 billion has exited the crypto markets in the past 24 hours, with more than 158,000 traders collectively losing $630 million [3].

Notably, Bitcoin's resilience has contrasted with the sharp declines seen in many altcoins. Dogecoin, Solana, and XRP have all experienced double-digit drops, with some falling as much as 6% in a single day [3]. The divergence in performance has raised questions about Bitcoin’s unique position in the market, with some analysts suggesting that it may be bucking historical trends. August has traditionally been a weak month for crypto markets, but so far, Bitcoin has not shown signs of capitulation [5].

Analysts remain cautious, with some forecasting a potential cooling in the crypto rally due to macroeconomic headwinds [2]. However, the continued resistance at key levels and the lack of widespread panic selling indicate that both institutional and retail investors remain committed to Bitcoin. The cryptocurrency now faces a crucial test at the $117,400 level, where 88,000 BTC are priced, serving as a potential indicator for a recovery [3].

Source:

[1] Bitcoin Enters Wyckoff Distribution — Time For Altcoins To ... (https://www.mitrade.com/insights/news/live-news/article-3-1007954-20250803)

[2] Expect crypto rally to cool in August as new tariffs raise ... (https://www.cnbc.com/2025/08/03/expect-crypto-rally-to-cool-in-august-as-new-tariffs-raise-macro-concerns-.html)

[3] Bitcoin Holds Above $115K as $600M Longs Get Liquidated (https://thecurrencyanalytics.com/marketmovers/bitcoin-holds-above-115k-as-600m-bullish-bets-get-liquidated-doge-sol-xrp-dip-6-188276)

[4] Bitcoin Drops 6.5% as Trump Tariffs, Fed Policy Spark Sell- ... (https://www.ainvest.com/news/bitcoin-drops-6-5-trump-tariffs-fed-policy-spark-sell-2508/)

[5] Why Bitcoin, Ethereum, XRP could defy history to trend ... (https://www.fxstreet.com/cryptocurrencies/news/crypto-today-could-bitcoin-ethereum-xrp-flip-the-historically-bearish-august-trend-to-bullish-202508011202)

[6] Why Is Bitcoin So Volatile? Reasons Behind BTC Price ... (https://www.vtrader.io/news/why-is-bitcoin-volatile/)