Bitcoin News Today: Bitcoin Retreats Below $120,000 as Sell-Off Raises Risk of $110,000 Pullback

Bitcoin’s recent price action has raised concerns among traders and analysts about potential volatility ahead. While the cryptocurrency briefly reclaimed the $120,000 level on August 11, 2025, it has failed to establish sustained momentum above this threshold, signaling possible exhaustion in the market [1]. The renewed push toward $120,000 came amid a broader crypto rally but quickly reversed, with prices retreating as selling pressure resurfaced [2].

The warning of a potential pullback to $110,000 has gained traction among market observers. This price level has historically acted as a key support zone, and analysts suggest that a breakdown below $120,000 could trigger a correction toward this level [3]. The signs of market fatigue include narrowing price ranges and a neutral stance on Bitcoin Futures Power Index, which indicates that neither bulls nor bears are in control [4]. This indecision may lead to a consolidation phase or a sharp reversal in the near term.

Despite the bearish outlook, Bitcoin’s performance remains influenced by broader market sentiment and macroeconomic factors. On August 1, the cryptocurrency briefly surged to $124,000, highlighting the aggressive buying interest still present [1]. However, this rally has yet to translate into a convincing breakout beyond $120,000, casting doubt on the sustainability of the upward trend. Analysts caution that without a clear move above this level, the risk of a significant retracement remains high [3].

The market’s inability to maintain gains above $120,000 raises questions about the strength of the current bullish phase. Some traders are beginning to factor in the possibility of a near-term correction, as reflected in positioning data and futures funding rates. The recent intraday move above $120,000 has not been followed by a strong follow-through, suggesting traders are adopting a more cautious stance [2]. This trend may continue if Bitcoin fails to retest and surpass key resistance levels with conviction.

In summary, Bitcoin’s price action indicates a potential shift in market dynamics. While the $120,000 level has been temporarily regained, the lack of follow-through buying suggests a possible pullback toward $110,000 could be on the horizon. Investors are advised to remain vigilant and consider the potential for increased volatility in the days ahead.

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Source:

[1] Mitrade (https://www.mitrade.com/insights/news/live-news/article-3-1038744-20250814)

[2] MLQ.ai (https://mlq.ai/news/)

[3] Mitrade (https://www.mitrade.com/insights/news/live-news/article-3-1038745-20250814)

[4] CryptoRank (https://cryptorank.io/news/tag/bitcoin-news)