Bitcoin News Today: Bitcoin holds key $111,800 support amid bullish technicals and volatile market conditions

Bitcoin has maintained a critical support level at approximately $111,800 following a recent correction from its all-time high of $123,230, reinforcing the potential for a continuation of the bullish trend. The level, previously a range-high resistance, has transitioned into a confluence of support, aligning with key technical indicators such as the point of control, value area high, volume-weighted average price (VWAP), and the 0.618 Fibonacci retracement [1]. This structural defense is being supported by rising on-chain volume, which suggests that demand remains active among both retail and institutional participants [1].

Price action has demonstrated respect for the $111,800 level, forming a clean bounce and reinforcing the formation of a higher low, a sign often associated with the continuation of an uptrend. The next target remains the previous all-time high of $123,230, and a successful breakout from this level could lead to further price discovery beyond $130,000, depending on Fibonacci extensions and historical pivot points [1]. However, a breakdown below $111,800 would invalidate the current bullish thesis and potentially shift the focus to the $98,200 support range as a new key level [1].

Analysts have highlighted the significance of the $107,100 level as a potential accumulation zone in the event of further downward movement, particularly if Bitcoin fails to sustain above $111,800 [3]. This level has historically acted as a crucial point of price consolidation and could play a similar role in the near term. In contrast, some bullish forecasts suggest that a clean retest of $119,800 to $122,000 could be possible if the support at $111,800 holds firm [4]. More aggressive projections, primarily based on whale activity and favorable technical setups, have pointed to a potential price target of $148,000 or $150,000, though these remain speculative and should be regarded as analyst forecasts rather than confirmed market outcomes [5].

Bearish pressure has also been attributed to increased selling from Bitcoin miners, who have offloaded over 3,000 BTC in the past two weeks [3]. This, combined with broader macroeconomic uncertainties and the traditionally volatile August market environment, has contributed to the recent correction. The interplay of these factors has created a more cautious atmosphere among traders and investors, who are advised to closely monitor key levels and volume patterns as the market moves forward.

In summary, Bitcoin remains in a transitional phase with the $111,800 level serving as a critical psychological and technical threshold. The coming days and weeks will be crucial in determining whether the bull case remains valid or if a deeper correction is on the horizon. Traders are encouraged to treat key levels as decision-making tools rather than definitive signals, as the market continues to seek clarity amid heightened volatility.

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Sources:

[1] Bitcoin price analysis: BTC defends key zone, bull run toward ATH still in play (https://crypto.news/bitcoin-price-analysis-btc-defends-key-zone-bull-run-toward-ath-still-in-play/)

[3] BTC Down $10K From ATH – Here Are Bitcoin’s Next Support Zones (Analyst) (https://cryptoadventure.com/btc-down-10k-from-ath-here-are-bitcoins-next-support-zones-analyst)

[4] Will btc reclaim the structure or continue lower? (https://www.facebook.com/groups/751073528414788/posts/2777660605756060/)

[5] Bitcoin Rebounds: Is $150K the Next Target? (https://www.bitrue.com/blog/bitcoin-rebounds-is-150k-the-next-target)