Bitcoin News Today: Bitcoin Traders Absorb Dips as U.S. and Korean Demand Rises Amid Ghost Month Concerns

Bitcoin traders have demonstrated resilience in the face of recent price declines, absorbing dips as on-chain data suggests strong demand from U.S. and Korean markets. On August 14, Bitcoin fell below $117,000, marking its most significant pullback in a month. The daily chart displayed a bearish engulfing pattern, the first since July 15, raising concerns that the “ghost month” period—running from August 23 to September 21—could extend the downturn [1].

The Coinbase Premium Index hit a monthly high, signaling renewed U.S. retail interest, while the Kimchi Premium Index turned positive, indicating growing demand in South Korea [1]. Crypto trader Hansolar noted that buying pressure was distributed across major exchanges, including Coinbase, Bitfinex, and South Korean platforms [1]. These signs point to short-term resilience, though they do not eliminate broader concerns about seasonal weakness.

Further support for a potential recovery comes from stablecoin flows. USDC inflows into exchanges surged to $3.88 billion following the price decline, suggesting traders are preparing to deploy capital [1]. Meanwhile, capitulation signals were muted, with only 16,800 BTC moved to exchanges at a loss by short-term holders—far below the 48,000 BTC seen in previous corrections [1]. This suggests that panic selling is not yet a widespread issue.

Anonymous analyst Exitpump highlighted a potential support range between $116,000 and $117,000, where both spot and futures buying interest appears strong [1]. However, the psychological impact of the “ghost month” may weigh on market psychology, influencing risk appetite and profit-taking behavior. Historically, Bitcoin has experienced sharp declines during this period, with an average drawdown of about 21.7% since 2017. Notable drops include a 39.8% decline in 2017 and a 23% pullback in 2021 [1].

If the current correction follows historical patterns, Bitcoin could fall into the $105,000–$100,000 range before stabilizing. These levels align with key technical support zones where long-term investors may step in. While some years have ended the ghost month with positive returns, the mid-period volatility remains a key risk. Traders are advised to remain cautious, particularly as deeper corrections later in August could set the stage for a stronger rebound in the fourth quarter [1].

The market’s ability to absorb short-term shocks remains a positive sign, but the ghost month effect underscores the importance of managing expectations and liquidity during a historically weak period. Investors should monitor both technical indicators and broader macroeconomic developments as they navigate this period of heightened uncertainty [1].

Source: [1] Bitcoin Traders Absorb the Dips but ‘Ghost Month’ Could Extend Woes (https://cointelegraph.com/news/bitcoin-traders-absorb-the-dips-but-ghost-month-could-extend-woes)