Bitcoin News Today: Bitcoin Stabilizes Above $113,500 After 10% August Correction

Bitcoin faces a volatile period as market participants closely watch critical support and resistance levels following a sharp correction in early August. On August 2, the cryptocurrency dipped below $115,000, marking the beginning of a nearly 10% decline from recent highs. Despite this pullback, the price has stabilized above $113,500, a level that has historically signaled the start of a consolidation phase before renewed upward movement [3].

Market analyst Master Ananda views the current dip as part of a natural market cycle and emphasizes that the bullish trend is likely to persist as long as key support levels remain intact. According to Ananda, Bitcoin is expected to find stability between $110,000 and $100,000, with the $100,000 level serving as a crucial psychological and technical threshold. Additional support levels are identified at $106,000 and $102,000, aligning with Fibonacci retracement levels [3].

Glassnode data supports this outlook, indicating that a significant buyer wall exists at $107,160, where 111,000 BTC is clustered. This concentration is expected to help ease selling pressure and potentially stabilize the price in the short term [3]. Analysts also highlight that if Bitcoin does not close the week below $100,000, the long-term bullish trend remains intact, with historical patterns suggesting a period of sideways consolidation before a fresh rally.

On the resistance side, the $117,400 level is considered a pivotal point for a potential rebound. This level is currently home to 88,000 BTC, and analysts believe that as long as the price remains above $110,000, there is no significant risk of panic selling. Additionally, decreased miner sales and increased long-term wallet activity could help push the price beyond $115,000 and potentially reach new highs [3].

The price volatility has been exacerbated by broader economic factors, including weak U.S. employment data and the uncertainty surrounding new tariff policies. These developments have led to reduced risk appetite in the markets and increased short-term profit-taking [3]. On-chain activity has also contributed to the turbulence, with over 80,000 BTC moved from dormant wallets in early August. While the exact implications of these movements remain unclear, they suggest a shift in market sentiment and the activation of large strategic positions [4].

Binance has warned traders to remain cautious of leveraged positions, noting that volatility can quickly erode gains if key thresholds are breached. A correction into the $107,000 zone is viewed as a normal part of the price cycle, but the market’s response will depend on how these levels are tested and defended [1].

The broader cryptocurrency market is also reacting to Bitcoin’s fluctuation. Altcoins like BNB, SOL, and ADA have shown signs of momentum as Bitcoin hovers near critical support levels. This activity is occurring against a backdrop of growing geopolitical and macroeconomic risks, including U.S. policy changes and global trade tensions [9].

While short-term uncertainty persists, many analysts remain optimistic about Bitcoin’s long-term trajectory. Institutional interest continues to rise, and volatility is increasingly seen as a natural part of the market’s evolution. Investors are advised to remain cautious, balancing the potential for high returns with the risks inherent in a rapidly shifting market [3].

[1] Binance, https://www.binance.com/en/square/post/27740648693985

[3] The, https://www.thecoinrepublic.com/2025/08/03/btc-price-sell-pressure-spills-over-into-the-weekend-liquidations-surge-what-next/

[4] AInvest, https://www.ainvest.com/news/bitcoin-news-today-bitcoin-volatility-rises-dormant-wallets-move-institutions-buy-5b-btc-2508/

[9] Binance, https://www.binance.com/en/square/post/27783850809282