Bitcoin News Today: Bitcoin's Tug-of-War Below $112K: Will Bulls Regain Control or Face a $100K Slide?

Bitcoin’s recent price action suggests it is at a pivotal juncture as traders monitor key support levels. As of August 27, 2025, Bitcoin is trading at $110,360, a decline of over 1.15% in the previous 24 hours. Analysts have highlighted that the cryptocurrency is now testing the $112,000 support zone, with further declines potentially breaching the $108,695–$110,000 level. A breakdown below these thresholds could accelerate a slide toward $105,150 and even the psychological $100,000 level [1].

The broader market remains influenced by institutional demand, which has so far served as a stabilizing force for Bitcoin. However, short-term traders are questioning whether the recent summer rally has reached its peak. On the technical front, Bitcoin has failed to maintain its earlier highs of $124,450, leading to a consolidation phase within a descending channel. Key resistance is now represented by the 50-day simple moving average at $116,553, while the $112,000 pivot remains a critical support level [1].

Momentum indicators paint a cautious picture. The Relative Strength Index (RSI) stands at 38, indicating an oversold condition, although no bullish divergence is evident. The Moving Average Convergence Divergence (MACD) remains negative, and recent candle patterns show indecision, with long wicks signaling a tug-of-war between buyers and sellers. If the price holds firm, a potential rebound could push Bitcoin toward $116,850, where it may face renewed resistance from the 50-day SMA and channel boundaries [1].

A breakout above $116,850 could reinvigorate the bullish case, potentially propelling Bitcoin toward $120,900 and the recent high of $124,450. Conversely, a sustained drop below $108,695 would validate bearish sentiment and increase the likelihood of a significant correction. Analysts warn that a move toward $100,000 could trigger panic selling but might also attract institutional buyers seeking discounted positions in the long run [1].

The market is at a crossroads, with the outcome heavily dependent on how Bitcoin navigates these critical levels. If bulls manage to regain control and push the price above key resistance, the structure favors a return to $124,000 or even $130,000. However, a breakdown would likely see the price retrace toward $105,000 and $101,000, with the $100,000 level representing a potential inflection point for renewed buying interest. Institutional demand, despite short-term volatility, remains a key variable in determining Bitcoin’s next trajectory [1].

Source: [1] Bitcoin Price Prediction: Support Level is Starting to Crack – Is the Market Bracing for a Flash Crash to $100K? (https://cryptorank.io/news/feed/62baf-bitcoin-price-prediction-support-level-is-starting-to-crack-is-the-market-bracing-for-a-flash-crash-to-100k)