Bitcoin News Today: Bitcoin Maintains Bullish Trend Amid 37% Volume Drop Sparking Caution Over Uptrend Sustainability

Bitcoin’s price remains in a bullish trend despite a notable decline in trading volume, sparking cautious optimism among traders and analysts. As of July 28, 2025, Bitcoin (BTC) traded between $118,629 and $118,823 over the past hour, maintaining a market capitalization of $2.35 trillion while 24-hour trading volume dipped to $38.23 billion [1]. This volume contraction, down from recent peaks, has raised questions about the sustainability of the uptrend initiated in May 2025, which saw Bitcoin rally from a base of $99,700 [1].

Technical indicators suggest a consolidation phase amid reduced volatility. On the daily chart, Bitcoin has plateaued near $119,000–$120,000, with long upper wicks and declining volume post-$123,236 peak signaling potential buyer exhaustion [1]. A breakdown below $114,000 would invalidate bullish setups, while a rebound above $119,800 with strong volume could reinvigorate the uptrend [1]. The 4-hour and 1-hour charts highlight tightening ranges, with Bitcoin fluctuating between $117,500 and $119,800. Scalpers may target short-term gains between $117,800 and $118,000, though stop-losses below $117,500 are advised to mitigate trend reversal risks [1].

Despite the volume drop, moving averages (MAs) reinforce the prevailing uptrend. The 10-period EMA and SMA align with current price levels around $118,304 and $118,372, offering potential short-term support [1]. Oscillators like the RSI (61) and CCI (67) remain neutral, while the ADX (26) confirms a weak trend. The momentum indicator (747) stands as the sole bullish signal, contrasting with the bearish MACD level (2,230) [1].

The volume contraction has sparked mixed interpretations. While a $4 billion increase in open interest suggests institutional confidence, the 37% decline in 24-hour trading volume from recent highs indicates waning speculative fervor [1]. Analysts note that lower volume during price increases often precedes consolidation or reversals, though Bitcoin’s dominance remains evident as it outperformed the broader crypto market, which fell 17.4% over the past 30 days [2].

Looking ahead, Bitcoin’s trajectory hinges on key price levels and external catalysts. A sustained break above $120,000 with renewed volume could push the asset toward $123,000–$124,000 resistance, while a breakdown below $114,000 may trigger deeper retracements [1]. Traders are advised to monitor on-chain metrics, with mixed signals currently complicating sentiment. The influx of $11.2 billion into Bitcoin ETFs in July adds complexity, as institutional flows may not always correlate with spot market liquidity [2].

Source:

[1] [Bitcoin Price Watch: Uptrend Intact, but Volume Drop Raises Caution](https://api.news.bitcoin.com/wp-json/bcn/v1/post?slug=bitcoin-price-watch-uptrend-intact-but-volume-drop-raises-caution)

[2] [A Feast of Data Awaits Investors](https://www.investing.com/analysis/a-feast-of-data-awaits-investors-but-will-the-market-still-like-what-it-tastes-200664386)