Bitcoin has returned to the key $112K support level, which now faces intense pressure that could either spark a continuation of the bull run or signal a local peak. Currently, Bitcoin is trading at $112,893, with a 1.38% daily gain.
However, trading volume remains moderate at $64 billion, lower than the $300–500 billion volume levels witnessed during peak market activity.
Three Key Levels: $92K, $112K, $117K Decide Bitcoin’s Fate
Burak Kesmeci, an analyst at CryptoQuant, confirmed that Bitcoin is now operating within a key $109K–$112K range.
According to Kesmeci, a weekly close above this zone could reinforce the upward trend, while a close below may trigger an accelerated correction.
The analyst has identified three key price levels deserving attention.
The first is $117.3K, representing short-term resistance where underwater investors may look to exit their positions.
The second is the current $112K level, serving as a short-term decision point that will determine whether prices advance higher or retreat to the third level, short-term support around $92.4K.
Similarly, on-chain analyst Darkfost noted that BTC Supply in Profit has recently fallen below the 90% threshold, a metric that has frequently indicated the onset of corrective phases.
“Bull markets typically coincide with more than 90% of supply showing profits. We have now reached this critical 90% threshold,” Darkfost explained.
Additionally, heavy selling pressure from whales and institutions through ETFs has weakened bullish sentiment.
SosoValue data reveals that U.S. spot Bitcoin ETFs recorded only $81.25 million in net inflows on August 27, a stark contrast to Ethereum ETFs, which attracted $309.48 million during the same time frame.
0.5% Loss Metric Proves Bull Run Still Intact
Glassnode data shows that the Relative Unrealized Loss for Bitcoin investors remains at just 0.5%, well below the >30% levels characteristic of bear market extremes.
Source: Glassnode
This indicates that most holders maintain profitable positions despite mounting short-term pressure.
Additionally, during the recent pullback to $109K, Bitcoin touched the “Oversold” territory on the short-term holder MVRV Bollinger Band.
The previous occurrence of this condition was at the $74K bottom in April, after which Bitcoin surged over 50%.
Many analysts now view the current situation as a retest phase before the next leg of the bull run commences.
Supporting this thesis, corporate treasuries and companies are accumulating Bitcoin at a rate four times the mining rate, adding approximately 1,755 BTC daily, while only 450 BTC enter circulation through mining.
Source: River
Bitcoin enthusiast CryptoNewton projects that as long as the price remains above the $112K threshold, subsequent targets include $115K, $118K, and $124K.
Technical Analysis: $124K Liquidity Sweep Sets Up Next Move
The daily BTC/USDT chart displays a clear liquidity-driven pattern. The price recently cleared liquidity near the $124,000 area, establishing a new all-time high before experiencing a sharp reversal.
The RSI is climbing from neutral territory, indicating that momentum is recovering following the selloff.
Key resistance zones ahead include $114,700 and $116,800.
A decisive breakout above $116,800 would clear the path toward $119,500 and potentially establish another attempt at the highs.
Conversely, if price fails at this juncture and reverses, a return toward $111,900 remains viable, with $103,000 serving as the deeper invalidation level.
The 4-hour BTC/USDT chart reveals a distinct structure between buyer and seller territories.
Following a steep decline from the seller zone around $121,000, the price descended into the buyer zone near $111,000 and established support.
The support line and buyer zone provided a foundation for recovery, leading to a breakout attempt through the resistance line.
The price is currently consolidating just above $111,000 while testing the lower boundary of the $112,400 zone, which serves as short-term resistance.
The technical setup suggests that if buyers can sustain momentum above this buyer zone and achieve a clean break through $114,400 resistance, the next target would be approximately $118,000 (TP1), aligning with the projected trajectory.
However, failure to maintain levels above $113,000 would increase the probability of retesting the $109,000 buyer zone.
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