Deribit Exchange Data Shows Bitcoin Bullish Exhaustion at $120K as Ether Hits 7-Month High

Bitcoin's bullish momentum shows signs of severe exhaustion as the cryptocurrency struggles to break decisively above the $120,000 level. Options data from Deribit reveals significant positive dealer gamma at $120,000 and $120,500 strikes, creating a volatility-suppressing environment where market makers mechanically buy dips and sell rallies.

The $116,000-$117,000 support zone has emerged as a critical technical level, with a breach potentially opening the door to a retest of May's highs NEAR $112,000. The three-line break chart's meager 0.12% green bar on July 22 signals waning buying pressure, suggesting an extended pullback may be imminent despite the broader uptrend.

Meanwhile, Ether continues its outperformance, rallying 2% to hit a seven-month peak of $3,937. The MOVE effectively invalidates last week's indecisive Doji candlestick pattern, demonstrating resilient demand in the second-largest cryptocurrency.