Bitcoin Price Falls to $115K After Record $124K, Fed Shift and Whale Selling Hit Market

Bitcoin (BTC-USD) Slips Back to $115K After Hitting Record $124,500

Bitcoin has pulled back sharply from its latest peak, slipping to $115,278 (-2.04%) after briefly touching a new record high of $124,496 just four days ago. The drop to as low as $114,706 triggered nearly $576 million in forced liquidations across the crypto market, including $124 million in Bitcoin long positions. More than 133,000 traders were liquidated in the past 24 hours, according to exchange data, showing just how aggressive profit-taking became once BTC lost momentum near $120,000.

Fed Policy and Inflation Data Knock Sentiment

The correction comes against a backdrop of shifting Federal Reserve expectations. July’s hotter-than-expected Producer Price Index (PPI) and stronger import prices erased hopes for a 50bps rate cut in September. Futures markets now assign only an 84.8% chance of a 25bps cut, down from almost 100% just a week ago. The repricing is pressuring risk assets broadly: the 10-year U.S. Treasury yield climbed to 4.328%, while the 2-year yield held above 4.6%, flattening financial conditions for crypto investors. Comparisons with 2021—when BTC topped just as the Fed tightened—are surfacing again, though this cycle still favors eventual easing.

Corporate Treasuries Continue Accumulating

Even with volatility, corporate buyers remain active. Strategy (NASDAQ:MSTR) disclosed the purchase of 430 BTC for $51.4 million at an average price of $119,666, bringing its holdings to 629,376 BTC worth around $72.4 billion. Strategy’s total spend stands at $46.2 billion with an average cost basis of $73,320 per coin, leaving unrealized gains above 60%. In Japan, Metaplanet added 775 BTC, boosting its treasury to 18,888 BTC. These moves come after months of relentless buying—Strategy alone has acquired more than 376,000 BTC since November 2024. This wave of institutional demand is providing stability even as short-term traders unwind leveraged positions.

Altcoins Retreat with Bitcoin

The pullback hit other major coins. Ether (ETH-USD) fell -4% to $4,283, drifting further from its $4,800 peak. XRP slid below $3 (-4.12%), Solana (SOL-USD) lost -6.24%, and Dogecoin (DOGE-USD) dropped -5.42%. The total crypto market cap shed $100 billion overnight, falling under $4 trillion. Despite ETF inflows last week—Bitcoin funds took in $547 million, while Ethereum products drew $2.9 billion—Friday showed net outflows, signaling that even institutions took some profits into strength.

Geopolitical Pressure Adds to Selling

The timing of the selloff coincides with political uncertainty. The Alaska summit between Trump and Putin ended without a ceasefire, and attention now turns to Trump’s Washington meeting with Zelenskyy and EU leaders. The market is wary that stalled talks could escalate risks, reducing appetite for speculative assets. Safe-haven flows underscored that shift: gold traded steady near $3,381/oz, highlighting the risk-off tone that filtered into Bitcoin’s decline.

Technical Picture: Rising Wedge Breakdown

On the charts, BTC/USD confirmed a break below a rising wedge pattern. Immediate resistance sits at $116,850, then $118,000–$118,500. Clearing those levels could put $120,000 back in play, with a possible extension to $121,500–$124,000. On the downside, support is at $115,000, followed by $113,500, with deeper levels near $110,000. Some analysts warn of a potential dip toward $98,000–$100,000, and in extreme bearish cases, as low as $88,000, if momentum continues to break down. For now, the 50-day EMA near $115,010 is the key line to defend—holding above it would leave room for a rebound, while losing it risks accelerating losses.

On-Chain Flows Show Whales Taking Profits

Whale wallets have been reducing exposure. Addresses with 10,000+ BTC have dropped to year-to-date lows, while the 1,000–10,000 BTC cohort has also been net sellers since mid-July. This rotation reflects profit-taking after the run to $124,000. At the same time, long-term holding zones remain active: the 50-week EMA around $94,750 has been a strong accumulation band since mid-2023. If prices fall further, whales may again step in aggressively, repeating patterns seen in past cycles.

Institutional Innovation: Amdax and Bitcoin Hyper

Beyond price, structural developments keep strengthening Bitcoin’s adoption story. Dutch crypto services firm Amdax announced AMBTS (Amsterdam Bitcoin Treasury Strategy), a vehicle to be listed on Euronext Amsterdam (EPA:ENX), as over 10% of BTC supply is now held by governments and corporations. Meanwhile, Bitcoin Hyper (HYPER), a Layer-2 platform leveraging Solana architecture, has already raised $10.3 million in presales at $0.012745. The project promises instant BTC settlement with cross-chain integration into Ethereum and Solana ecosystems. These moves illustrate how Bitcoin’s ecosystem is broadening even as its price consolidates.

Sentiment: Short-Term Caution, Long-Term Bullish Underpinning

Momentum indicators are clearly tilting bearish. RSI has slipped below 50, MACD shows a sell crossover, and positioning data from Coinglass shows a BTC long-to-short ratio of just 0.85, the weakest in a month. Yet longer-term narratives remain bullish: ETF inflows, treasury accumulation, and global liquidity expansion suggest the cycle is intact. Historical halving-cycle patterns imply that dips of 20–30% are often mid-cycle resets. Current levels between $110K–$115K may ultimately prove to be consolidation before Bitcoin makes its run toward $132K–$160K later this year.

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