Bitcoin News Today: Bitcoin stabilizes near $119,000 as leverage ratios decline to 0.25

Bitcoin has shown resilience near the $119,000 level, with market participants attributing the stability to a reduction in leverage across exchanges, which is seen as reducing the likelihood of a sharp price correction [1]. Over the past few weeks, the asset has experienced a volatile trading environment, swinging between key resistance and support levels amid shifting macroeconomic conditions. The most recent all-time high of $124,457, reached on August 13, was followed by a pullback that pushed prices as low as $117,477 before stabilizing around $119,000 [2]. This stabilization has been accompanied by a noticeable decline in speculative trading activity and leverage ratios [3].

Data from market contributors such as Arab Chain indicates that the leverage ratio has fallen from a peak of 0.27 in late July and early August to approximately 0.25, signaling a moderation in aggressive bullish positioning [4]. This trend, combined with Bitcoin’s ability to maintain its position near $119,000, suggests that the recent upward movement is being driven more by fundamental liquidity rather than speculative fervor [5]. Analysts have noted that if the leverage ratio remains in the range of 0.24–0.25 and the price continues to move incrementally higher, particularly above the $120,000 level, it could mark the start of a more sustained uptrend [4].

However, on-chain indicators suggest that selling pressure could emerge. Increased BTC deposits at major exchanges like Binance and a rise in miner outflows have raised concerns about potential profit-taking, especially after the recent rally [4]. These movements indicate that some market participants may be preparing to offload positions, which could trigger a short-term pullback. Some analysts have warned of a potential correction to around $110,000 to close open fair value gaps [4].

The broader macroeconomic environment has also played a role in Bitcoin’s recent price action. A hot U.S. inflation report and shifting expectations regarding Federal Reserve interest rate cuts have contributed to heightened volatility [6]. For example, the probability of a Fed rate cut in the near term dropped to 90.5% from 99.8% following the release of the July PPI data [6]. This uncertainty has affected risk appetite across asset classes, with Bitcoin reacting accordingly to macroeconomic cues.

In the near term, the market is closely watching Bitcoin’s performance at key levels such as $119,900 and $123,000. A successful breakout above these levels could signal a resumption of the bullish trend that led to the recent ATH, while failure to break through may result in renewed selling pressure [2]. The balance between leverage ratios and price stability will remain a key focal point for traders and investors seeking to gauge the direction of the market [4].

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[1] https://www.newsbtc.com/bitcoin-news/bitcoin-119000-leverage-reduces-correction/

[2] https://www.xt.com/en/blog/post/btc-slips-below-120k-as-policy-shifts-rattle-markets-is-this-a-setup-for-the-next-big-rally

[3] https://medium.com/@aegetglobal/bitcoin-stabilizes-around-119k-sonic-labs-co-founder-secures-funding-for-flying-tulip-897e70138b92

[4] https://www.mitrade.com/insights/news/live-news/article-3-1044832-20250816

[5] https://cryptorank.io/news/tag/bitcoin

[6] https://www.coinglass.com/ru/news/534145