Bitcoin News Today: Bitcoin Trapped in $116k–$120k Range as Galaxy’s $1.5B Sale Amplifies Uncertainty

Bitcoin has remained within a narrow price range for over two weeks, hovering between $116,000 and $120,000 as traders await a potential breakout. The recent consolidation follows a brief dip to $114,700 in July, with the asset stabilizing as key support and resistance levels are scrutinized. This sideways movement has coincided with heightened market activity, including Galaxy Digital’s $1.5 billion Bitcoin sale, which has amplified uncertainty and extended the consolidation phase. Analysts caution that while technical indicators like the RSI suggest oversold conditions, the prolonged sideways action reflects a market in digestion, with participants evaluating liquidity flows and leverage levels [1][3].

The current price structure reveals critical dynamics. Bitcoin has tested the $114,000–$116,000 support zone, with buyers stepping in to prop up prices. Meanwhile, liquidity clusters above $119,000—where stop-loss and liquidation triggers are concentrated—pose potential catalysts for sharp directional moves. A sustained break above $119,000 could signal renewed bullish momentum, as buyers at dips near $112,000 may amplify upward pressure. If Bitcoin surmounts this resistance and closes above it, a rapid rally could follow, potentially pushing the asset toward new all-time highs. However, a failure to hold above $116,000 could reignite downward pressure, testing the critical $115,000 support level [2].

Technical analysis highlights the 4-hour chart’s rising wedge pattern, a formation historically linked to sharp breakouts or breakdowns. Traders are monitoring whether Bitcoin can maintain its strength above $110,000, which would reinforce a bullish bias. Merlijn The Trader, a prominent analyst, notes that Bitcoin’s price action has closely aligned with global M2 liquidity trends, suggesting further upward potential if monetary expansion continues. His forecast targets $135,000 and $144,000, contingent on sustained liquidity inflows [4]. Conversely, Daan Crypto Trades warns of a “narrow risk corridor” between $115,000 and $120,000, where dense leveraged positions could trigger cascading liquidations. Binance data underscores this volatility, showing concentrated risk in this range [4].

The broader market has shown resilience, with total crypto market capitalization reaching $3.87 trillion amid strategic consolidation. Yet, the absence of immediate directional clarity underscores the importance of liquidity flow. Analysts emphasize monitoring the $115K–$120K corridor, where a decisive move could reshape near-term price action. While a break above $120,000 may accelerate bullish momentum, a drop below $115,000 could reignite selling pressure. Traders are advised to remain cautious, as the proximity of key liquidation points means volatility could erupt in either direction.

In summary, Bitcoin’s consolidation phase represents a pivotal juncture. Technical indicators and liquidity trends hint at potential for a breakout, but the proximity of critical resistance and support levels means volatility remains a key factor. Market participants are urged to focus on liquidity dynamics and leverage ratios, as these could determine the next phase of Bitcoin’s price trajectory.

Sources:

[1] [Bitcoin Trapped in $116K–$120K Range as Key $111K Support Tested](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-trapped-116k-120k-range-key-111k-support-tested-breakout-2507/)

[2] [Bitcoin Endures One of the Most Intense Bear Weeks](https://www.mitrade.com/au/insights/news/live-news/article-3-989792-20250727)

[3] [Bitcoin Faces Critical $113,500 Support as Galaxy’s $1.5B Sale Threatens Drop](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-faces-critical-113-500-support-galaxy-1-5b-sale-threatens-12-drop-2507/)

[4] [Global Money Flow Rising: Bitcoin Price Mirrors Every Move](https://cryptodnes.bg/en/global-money-flow-rising-bitcoin-price-mirrors-every-move/)

[5] [Bitcoin 4H Chart – Key Moment Ahead](https://www.facebook.com/photo.php?fbid=781961521184259&set=a.105206972193054&type=3)