Bitcoin News Today: Bitcoin Stabilizes Near $118K With 0.21% Gain Amid 29% Volume Drop, Eyes $118.4K Resistance

Bitcoin remains in a tight trading range near $118,000, with its price stabilizing amid a 29% decline in trading volume to $46.2 billion, according to recent market data [1]. The cryptocurrency recorded a modest 0.21% gain over the past 24 hours, maintaining a market capitalization of $2.35 trillion as its circulating supply approaches 19.89 million coins, leaving approximately 1.11 million BTC unmined before hitting the 21-million coin cap [2]. Analysts and traders are closely monitoring key technical levels: $117,700 as the immediate support zone and $118,400 as the critical resistance threshold. A breakout above $118,400 could target $120,000, while a breakdown below $117,700 may push the price toward $116,500 [3].

Technical indicators show a mixed trend. The Relative Strength Index (RSI) hovers near 37, suggesting lingering bearish pressure, while the MACD histogram has flattened after a recent bearish crossover, signaling a potential slowdown in downward momentum [4]. On-chain metrics highlight the market’s consolidation phase, with Bitcoin trading within a narrowing range of $115,086 to $118,102. This pattern, described as a “falling wedge,” indicates buyers defending key support levels, though a definitive directional move remains pending [5].

Market sentiment reflects optimism despite caution. Community sentiment holds an 82% bullish bias, but reduced trading activity—driven by profit-taking from investors who have seen the realized price surge past $50,831—suggests prudence [6]. Analyst Ali Martinez noted that sustaining inflows above $110,000 is crucial for a potential push toward $130,756, the upper bound of the MVRV pricing bands. Conversely, a breakdown below $110,000 could trigger a correction to the mean band at $88,960 or the -0.5σ level at $68,062 [7]. The MVRV model, which tracks deviations from the average realized price, currently places Bitcoin just below the +1.0σ band, a historical marker for market peaks [8].

Long-term fundamentals remain robust, with Bitcoin’s scarcity—its fixed supply of 21 million coins—driving bullish narratives. However, macroeconomic uncertainties and the need for stronger catalysts, such as institutional inflows or major macroeconomic events, underscore the challenges for near-term momentum [9]. The Fear & Greed Index has climbed to 72, nearing extreme greed levels, a psychological barometer that often precedes market corrections [10].

Traders are advised to watch for volume surges that could validate either a bullish or bearish thesis. If Bitcoin surpasses $118,400, the next resistance area at $119,500 and the psychological $120,000 level become focal points. Conversely, a drop below $117,700 may test the $116,500 support, with further declines contingent on holding key thresholds [11]. Analysts from CoinCentral and CoinGape emphasize that maintaining inflows above $110,000 is essential for achieving the projected $130,000 target [12].

As the market consolidates, the outcome of Bitcoin’s price action could influence broader cryptocurrency sentiment, given its role as the sector’s bellwether. Whether it trends higher or corrects will depend on the interplay of technical levels, on-chain activity, and external macroeconomic factors.

Source: [1] [title: Bitcoin Could Reach $130K If It Holds Key Support Above ...] [url: https://coincentral.com/bitcoin-could-reach-130k-if-it-holds-key-support-above-110k/]

[2] [title: Bitcoin Hits $1T Realized Cap for First Time, Glassnode ...] [url: https://www.coindesk.com/markets/2025/07/26/bitcoin-hits-usd1t-realized-cap-as-price-holds-above-usd118k-after-usd9b-btc-sale-by-satoshi-era-whale]

[3] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[4] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[5] [title: Bitcoin News Today: Bitcoin Surges to $118000 Peak on ...] [url: https://www.ainvest.com/news/bitcoin-news-today-bitcoin-surges-118-000-peak-sustained-buying-bullish-technicals-2507/]

[6] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[7] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[8] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[9] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[10] [title: Bitcoin MVRV Pricing Bands Hint At $130K, But Only If This ...] [url: https://cryptorank.io/news/feed/4b446-bitcoin-mvrv-pricing-bands-hint-at-130k-but-only-if-this-support-holds]

[11] [title: Bitcoin's Crossroads: A Tense Moment for Traders and ...] [url: https://www.onesafe.io/blog/bitcoin-price-analysis-support-resistance-levels]

[12] [title: Analyst Predicts Bitcoin May Hit $130K if $110K Support ...] [url: https://coingape.com/analyst-predicts-bitcoin-may-hit-130k-if-110k-support-holds/]