Bitcoin News Today: Bitcoin Trapped in $115,000–$121,000 Range Amid Institutional Buying and Regulatory Clarity

Bitcoin remains confined within a 18-day trading range of $115,000 to $121,000, with recent price movements suggesting an imminent expansion. Despite a temporary dip below $116,000, the market remains in a state of equilibrium, showing signs of indecision among traders. Analysts note that liquidity dynamics are intensifying, with key metrics such as the bid-ask ratio at 10% orderbook depth turning red, increasing the likelihood of price testing near $115,883 [1]. Liquidation heat maps from major exchanges like Binance and Bybit indicate concentrated short liquidations above $120,000 and long liquidation risks below $115,000, signaling a tight price corridor [2]. Orderbook data also reveals strong sell walls at $121,100 and robust bids near $111,000, making these levels critical for potential support and resistance [3].

Despite the short-term volatility, institutional buying activity has surged, with multiple companies acquiring Bitcoin treasuries at a significant pace. Charles Edwards of Capriole Investments reports that the treasury buys-to-sells ratio currently stands at an impressive 100:1 monthly, indicating strong accumulation by institutional investors [4]. This trend is reinforced by renewed inflows into spot Bitcoin ETFs, which reached $641.3 million since July 23, reversing previous outflows and highlighting renewed investor confidence [5]. These factors provide a bullish foundation, supporting the potential for a sustained breakout.

U.S. regulatory developments also play a pivotal role in shaping Bitcoin’s near-term trajectory. The Trump administration's pro-crypto stance, reflected in recent White House statements and comments by SEC Chairman Paul S. Atkins, is fostering a supportive policy environment for the cryptocurrency sector [6]. While the immediate price impact of these signals may be muted, they offer institutional investors greater clarity and confidence, encouraging increased Bitcoin allocations and broader market adoption.

Market watchers remain closely monitoring price action for signs of a definitive breakout. A strong bid at $111,000 could trigger volume spikes and a potential rebound toward the $116,000 level. Conversely, a decisive daily close above $120,000, supported by positive cumulative volume delta (CVD) in spot and perpetual futures markets, would confirm a bullish breakout.

Overall, Bitcoin’s current range-bound movement reflects a balance between liquidity pressures and institutional demand. With regulatory clarity and robust treasury buying, the cryptocurrency remains in a favorable position to test key levels in the near term.

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Sources:

[1] Bitcoin Price Compression and Market Liquidity Signal Imminent Range Expansion

[2] BTC/USDT liquidation heatmap. Source: Hyblock

[3] BTC/USDT after FOMC minutes. Source: X / Hyblock

[4] Bitcoin treasury buyers vs. sellers. Source: Charles Edwards / X

[5] Spot Bitcoin ETFs have resumed inflows totaling $641.3 million since July 23

[6] The Trump administration’s pro-crypto stance, outlined in recent White House reports and speeches by SEC chairman Paul S. Atkins

Source: [1] Bitcoin Price Compression and Market Liquidity Signal Imminent Range Expansion (https://en.coinotag.com/bitcoin-range-expansion-may-favor-downside-despite-signs-of-potential-breakout/)