Bitcoin Price Alert: Is the Ascending Channel About to Shatter?
Bitcoin's bullish run hits a critical inflection point as technical patterns flash warning signs. The once-sturdy ascending channel now teeters on the brink—will August 2025 mark the breakdown?
Technical crossroads
Chartists are sweating over the 4-hour candles as BTC tests support levels not seen since last quarter's rally. That 'reliable' ascending channel? Suddenly looking like a frayed safety net.
Market psychology at play
Traders who piled in at $60K are now white-knuckling their leverage positions. Meanwhile, Wall Street's 'digital gold' narrative gets another stress test—because nothing says store of value like 20% daily swings.
What comes next?
Either we get the mother of all bull traps or a textbook breakdown that'll make textbooks obsolete. One thing's certain: the crypto casino never closes, and the house always wins... eventually.
Bitcoin ETF Loses Momentum, Records 3 Consecutive Red Days
Based on The SoSoValue chart, the bitcoin ETF net inflows have had a recent turnover to negative with August starting off at an outflow of $333 million. Besides, the Total Net Assets in the hands of ETFs have fallen from slightly below than 155 billion to less than 148 billion, indicating that both the institutions are either realising profits or are waiting for a perfect entry.
BTC Price Forms Strong Support Within Triangle Pattern
Over the recent days, the Bitcoin price has gained significant momentum, resulting in it achieving a new high in July. Notably, the BTC crypto experienced a strong bullish rebound around the $96,000 mark. This resulted in it kickstarting a bullish rally followed by a new ATH above the $123k mark.
The price however, could not sustain itself past the $123,000 resistance and has since fallen off quite dramatically. Currently, this digital asset is listed at $113,614 with an intraday trading volume of $59.43 billion and a market cap of $2.26 trillion.
The rising bearish sentiment is also indicated by the Buy-Sell Pressure (BBP) indicator, which has appeared negatively over the past few trading sessions. The trend also has volume pointing down, suggesting that the market is on a path of becoming conservative.
As the bullish momentum is already weak, the ETF inflows are declining, the market may shift towards the bearish side in case the price drops further below in the upcoming time.
However, the institutional re-entry, or macro catalyst might just as easily swing sentiment in the opposite direction.
Based on this analysis, the key support level to watch is at $110,485, followed by critical support at $105,005. If these levels fail to hold, a sharper correction could be in sight. On the upside, the immediate resistance is at $116,000, with the next major resistance at $121,000.
A move back into the ascending channel WOULD be a positive signal, but without a significant increase in institutional inflows or a macro catalyst, the market appears to be on a path toward further consolidation or a breakdown.
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The Crypto Times does not endorse or promote this crypto asset in any manner and this article was written only for educational purposes. Make sure to “DYOR” before investing into any cryptocurrency as the market is highly volatile.
