Bitcoin News Today: Bitcoin Slides 2% as Technical Indicators Flag $115K Correction Risk

Bitcoin’s recent price action has sparked concerns about waning bullish momentum, with technical indicators and historical patterns suggesting a potential correction to the $115,000 support level. A hidden bearish divergence on the relative strength index (RSI) indicates weakening upward momentum, mirroring a similar divergence observed in March 2024 that preceded a 20% price drop. This divergence occurs when prices form higher highs while the RSI peaks lower, signaling a loss of strength in the rally [1].

Compounding these signals is a CME gap between $114,380 and $115,635 on the daily chart, a void created by Bitcoin trading outside regular hours on the Chicago Mercantile Exchange. Historical data shows that Bitcoin often "fills" such gaps, retracing to close the untraded range. With seven of nine 2025 CME gaps already closed, the remaining $114,000–$115,000 gap has become a focal point. A price retest of this level could trigger a short-term dip, potentially pushing Bitcoin toward fresh lows as the market attempts to resolve the void [2].

Further support for a correction comes from the Index Bitcoin Cycle Indicator (IBCI), which has entered a "distribution zone" historically associated with market euphoria and interim tops. Analyst Gaah notes this is the third such entry in the current bull cycle, though the IBCI reading of 80%—below the 100% peak seen in past cycles—suggests a high corrective risk without necessarily signaling a major end-of-cycle top. Supporting this view, on-chain metrics like the Puell Multiple and STH-SOPR remain below mid-levels, indicating retail and miner activity have not yet reached peak speculative intensity [3].

Market participants are closely watching the $115,000–$120,000 range as a critical juncture. A breakdown below $115,000 could target the $110,530–$115,000 liquidity zone, while a sustained breakout above $120,000 might propel prices toward $135,729–$150,000. However, stalled ETF inflows and macroeconomic uncertainties have compressed Bitcoin’s trading range over the past 10 days, with seller exhaustion near $118,000 hinting at a possible retest of key supports [4].

Analysts remain divided on the implications. Some view the recent 2% intraday decline to $117,634 as healthy consolidation after all-time highs, with $115K–$118K supports expected to hold [5]. Others warn that prolonged indecision could erode confidence, particularly if volume fails to confirm a breakout above $122,000. CoinDCX forecasts a potential surge to $124K–$130K by early August if buyers defend the $120K level, but a slide below $115K might extend sideways trading [6].

Long-term holders (LTHs) have shown minimal selling pressure despite the compressed price range, contrasting with aggressive accumulation seen in previous cycles. This measured approach suggests a more cautious market, though reliance on a resolution in the $115K–$120K range underscores current momentum’s fragility [7].

TradingView analysts caution that external factors—such as macroeconomic data or regulatory developments—could disrupt technical expectations, despite historical parallels to consolidation phases preceding breakouts [8]. For now, the focus remains on whether buyers can defend the $115K–$118K corridor, as failure to do so might invite renewed bearish speculation.

Source: [1] [Bitcoin News Today: BTC Consolidation 115K–120K Signals 135K Surge](https://www.ainvest.com/news/bitcoin-news-today-btc-consolidation-115k-120k-signals-135k-surge-2507/)

[2] [Bitcoin Eyes $115K Dip as Seller Exhaustion Builds Near $118K Zone](https://www.binance.com/en/square/post/07-23-2025-bitcoin-price-news-bitcoin-eyes-115k-dip-as-seller-exhaustion-builds-near-118k-zone-27335236213818)

[3] [Index Bitcoin Cycle Indicator Enters Distribution Zone](https://www.mitrade.com/insights/news/live-news/article-3-981284-20250724)

[4] [Bitcoin’s ETF Inflows Stall Amid Macroeconomic Uncertainty](https://www.mitrade.com/insights/news/live-news/article-3-985358-20250725)

[5] [Bitcoin Price Slides Below $118K USD](https://www.tradingnews.com/news/bitcoin-price-slides-below-118k-usd)

[6] [Crypto Bull Run 2025: CoinDCX Forecasts](https://coindcx.com/blog/crypto-deep-dives/crypto-bull-run-2025/)

[7] [LTH Activity Indicates Cautious Market Positioning](https://www.mitrade.com/insights/news/live-news/article-3-981284-20250724)

[8] [Bitcoin Consolidation and Breakout Scenarios](https://in.tradingview.com/markets/cryptocurrencies/ideas/)