Bitcoin Drops to $115500 Overnight Amid Heavy Liquidations and Shifting ETF Interest
Bitcoin’s price sharply declined overnight, dipping briefly to $115516 after trading steadily near $118000 throughout July 24.
According to the provided TradingView charts, the sharp move downward followed heavy liquidation pressure, as leveraged traders unwound positions after failing to break resistance near $118000.
Technical analysis using the daily chart revealed growing bearish pressure. Bitcoin traded within tight Bollinger Bands, which indicated low volatility before the sudden drop occurred.
The Moving Average Convergence Divergence MACD indicator confirmed the bearish sentiment, showing negative momentum for the first time in days.
The Relative Strength Index RSI, a critical momentum indicator, fell significantly, landing near the oversold level at around 33. This rapid decline pointed to weakening buyer support, underscoring the sudden selloff.
The fourhour chart supported this bearish shift. Bitcoin’s 50period Exponential Moving Average EMA crossed below its 100period EMA, signaling shortterm bearishness.
The Bollinger Bands expanded sharply during the drop, highlighting the volatility spike associated with intense selling. Concurrently, the Global Liquidity Index NDQ, illustrated by a distinct yellow line on the provided charts, revealed tightening global liquidity conditions.
This tightening liquidity likely reduced investors’ risk appetite, prompting traders to withdraw funds from volatile crypto markets. Institutional activity notably shifted, intensifying Bitcoin’s decline.
Bitcoin ExchangeTraded Funds ETFs experienced outflows of approximately $227 million within a single trading session, led by Fidelity’s prominent FBTC fund.
Conversely, Ethereum ETFs attracted significant institutional interest, receiving steady inflows totaling around $332 million over recent days. This institutional pivot away from Bitcoin toward Ethereum added pressure to Bitcoin’s recent price weakness.
Other cryptocurrencies followed Bitcoin downward. Ethereum fell over 3%, dipping below its critical resistance near $3650, aligning with the ETF rotation narrative. XRP and Solana also recorded substantial losses around 4% and 2.5%, respectively.
The broader altcoin market suffered similar declines, emphasizing investors’ caution toward riskier crypto assets during heightened volatility. From a macroeconomic perspective, regulatory developments continue influencing institutional strategy.
Recent favorable US legislation has shifted institutional preference toward Ethereum’s growth potential in decentralized finance DeFi and staking yield opportunities.
Bitcoin, traditionally favored for its scarcity, is now temporarily sidelined by institutional investors prioritizing Ethereum’s utility narrative. Currently, Bitcoin faces immediate technical support around $115500.
Failure to stabilize above this level could trigger deeper declines toward the next support level at approximately $111000. Meanwhile, traders closely monitor Ethereum’s price action and ETF flows as potential indicators of broader market sentiment and direction in the coming days.
Live Market IntelligenceCrypto — Live Market Board
Rio Times · Live Market Intelligence
Crypto — Live Market Board
-0.62%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| BTC | 65,692 | -0.62% | -44.69% | 66,101 | 66,237 | 65,356 | 23,981,174,784 |
| ETH | 1,930 | -0.20% | -46.84% | 1,933 | 1,938 | 1,912 | 9,629,293,568 |
| SOL | 77.54 | -0.47% | -59.10% | 77.91 | 78.43 | 77.08 | 1,607,087,104 |
| XRP | 1.14 | -0.47% | -64.32% | 1.14 | 1.14 | 1.13 | 970,321,856 |
| BNB | 570.60 | -0.03% | -26.53% | 570.75 | 571.73 | 568.67 | 933,912,960 |
| ADA | 0.17 | +0.05% | -78.65% | 0.17 | 0.18 | 0.17 | 279,537,888 |
| DOGE | 0.07 | -0.65% | -69.88% | 0.07 | 0.07 | 0.07 | 502,255,456 |
| AVAX | 6.58 | -0.56% | -72.53% | 6.62 | 6.64 | 6.52 | 203,053,136 |
| LINK | 8.61 | -0.11% | -52.63% | 8.62 | 8.66 | 8.53 | 201,464,160 |
| DOT | 0.82 | -1.46% | -80.03% | 0.83 | 0.84 | 0.82 | 58,494,140 |
| LTC | 47.28 | +0.44% | -57.88% | 47.07 | 47.34 | 46.83 | 196,235,072 |
| BCH | 216.37 | -1.64% | -57.76% | 219.97 | 220.13 | 215.47 | 77,988,032 |
| TRX | 0.33 | -0.40% | +5.76% | 0.33 | 0.33 | 0.33 | 384,497,504 |
| XLM | 0.18 | -1.39% | -56.84% | 0.19 | 0.19 | 0.18 | 146,772,496 |
| HBAR | 0.07 | +2.20% | -69.67% | 0.07 | 0.07 | 0.07 | 89,156,376 |
| NEAR | 1.87 | +0.06% | -32.17% | 1.87 | 1.88 | 1.86 | 130,737,952 |
| ATOM | 1.48 | +0.51% | -68.63% | 1.47 | 1.48 | 1.45 | 22,981,652 |
| AAVE | 97.32 | -0.04% | -66.51% | 97.36 | 98.41 | 96.62 | 250,063,392 |
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