Bitcoin News Today: Bitcoin Surpasses $116,000 Amid Weak Dollar and Institutional Optimism

Bitcoin (BTC) climbed above $116,000 in late July 2025, marking a significant milestone in the cryptocurrency’s ongoing rally. The price increase was supported by a weakening U.S. Dollar Index and declining 10-year Treasury yields, which signaled improved risk appetite across global financial markets [1]. This momentum was further amplified by heightened investor optimism surrounding an anticipated major executive order that analysts believe could unlock new capital flows into the retirement market [2].

During the peak of the rally, Bitcoin's 24-hour trading volume surged to $61 billion, indicating robust on-chain activity and strong bullish sentiment. The price briefly touched $116,500 on August 7, driven by favorable macroeconomic conditions and growing institutional interest [3]. Major altcoins also experienced upward momentum, with Ethereum (ETH), Solana (SOL), and Dogecoin (DOGE) all posting gains in line with Bitcoin’s performance.

Meanwhile, Ethereum rose 5.6 percent in 24 hours, reaching $3,903.64, with a weekly increase of 5.9 percent. XRP surged 10.7 percent in a day, reaching $3.32, and recorded an 11.3 percent weekly gain. Smaller-cap tokens saw even more dramatic movements, with AS Roma Fan Token (ASR) rising 69.1 percent to $7.90 and Yala (YALA) increasing 60.8 percent to $0.3317 [3].

Despite the strong price action, the market has since entered a consolidation phase near $115,000. Profit-taking activity among short-term holders has declined, with profitability dropping from 100 percent to 70 percent. This suggests a period of cautious trading behavior as investors assess the next potential move [4]. The price has been trading within a tight range, described by analysts as a “low-liquidity air gap” between $110,000 and $116,000, with limited trading volume and conservative investor strategies dominating the market [5].

Long-term holders have started to gradually offload their positions, while short-term traders have adopted a more defensive posture, reducing exposure as the market tests key support and resistance levels. This shift in behavior has led to synchronized pullbacks in some altcoins, reinforcing the perception that Bitcoin remains the primary bellwether for the broader crypto market [6].

Price forecasts for the near term suggest only modest gains, with one analysis predicting a potential near-term top around $114,715 over the next 30 days. This cautious outlook may reflect ongoing macroeconomic uncertainty and constrained ETF inflows, despite Bitcoin maintaining a position above $112,000 as a key support level [7].

Glassnode data indicates that Bitcoin is consolidating within the $109,000–$116,000 range, with strong resistance forming at the upper end. The realized price for short-term holders has climbed to $106,000, serving as dynamic support. The total realized price average now stands at $51,348, up from $48,000 in previous periods, signaling ongoing accumulation and a shift in market sentiment from speculative trading to longer-term holding strategies [8].

The current phase appears to be a consolidation period rather than a bearish reversal. Investors are watching closely to see whether short-term holders will regain bullish momentum or continue to take a passive stance. Given the limited price movement and the muted impact of recent macroeconomic news, the market is expected to remain in a holding pattern until new catalysts emerge.

Despite the consolidation, Bitcoin’s resilience above $117,000 in early July—despite a broader market pullback—has reinforced investor confidence. With strong fundamentals, including rising institutional adoption and potential regulatory clarity on the horizon, many traders and analysts remain optimistic about the long-term outlook.

Source:

[1] AInvest, https://www.ainvest.com/news/bitcoin-news-today-crypto-rally-gains-momentum-401-reform-unlocks-8-7-trillion-2508/

[2] CoinGape, https://coingape.com/markets/bitcoin-price-prediction-trump-executive-order-unlocks-retirement-capital-breakout-123k-imminent/

[3] Stocktwits, https://stocktwits.com/news-articles/markets/equity/liveperson-fortinet-smith-micro-software-draw-highest-retail-chatter/chrm2kzRddr

[4] AInvest, https://www.ainvest.com/news/bitcoin-news-today-bitcoin-short-term-holder-profitability-drops-70-price-consolidates-115-000-2508/

[5] Coindesk, https://www.coindesk.com/markets/2025/08/07/asia-morning-briefing-btc-slips-into-low-liquidity-air-gap-as-post-ath-drift-continues

[6] eblockmedia.com, https://www.eblockmedia.com/news/articleView.html?idxno=25493

[7] ICObench, https://icobench.com/news/live-bitcoin-price-prediction-signals-145k-ceiling-as-august-begins/

[8] Dzilla, https://dzilla.com/bitcoin-realized-prices-surge-as-investors-double-down-on-accumulation/