Bitcoin’s price fell below $113,000 in late July 2025, driven by aggressive sell-offs from large institutional holders—commonly referred to as “whales”—and broader macroeconomic uncertainty. The decline, which accelerated between July 25 and August 3, marked one of the most significant corrections in recent months, triggering widespread liquidations and heightened volatility across the crypto market [1]. On Binance, the digital asset briefly traded as low as $112,986.73, raising concerns among traders and investors about the sustainability of Bitcoin’s upward momentum [1].
The selloff intensified on July 28 as Bitcoin broke key support levels, falling further to $113,000. This threshold had previously acted as a psychological floor, and its breach signaled a shift in market sentiment. Analysts linked the decline to a combination of rising interest rates, global economic instability, and the impact of new U.S. tariffs signed by President Donald Trump [2]. The broader market reacted to these macroeconomic pressures, with Bitcoin dominance rising as altcoins faced sharper declines [1].
Whale activity played a pivotal role in amplifying the downturn. Institutional traders offloaded approximately 80,000 BTC, with over 56 million transactions recorded on Binance during the selloff [4]. These large-volume sales created cascading downward pressure, triggering liquidations that exceeded $1 billion in a single day [1]. The aggressive offloading was seen as both profit-taking and a strategic move amid uncertainty, with traders urged to reduce leverage and monitor upcoming economic data [1].
Despite the sharp correction, Bitcoin showed signs of resilience. By July 31, the price had partially recovered, trading at $114,134 and approaching key resistance levels [3]. This partial rebound was interpreted by some analysts as a sign of strong demand from buyers on the sidelines, who were willing to absorb large sell-offs without triggering a steeper crash [1]. Traders also began to implement “buy the dip” strategies, with large holders showing early signs of accumulation [6]. A stable hold above $113,000 was seen as crucial for regaining investor confidence and preventing further downward momentum [5].
Looking ahead, the market remains cautious as it awaits further clarity on macroeconomic developments and potential regulatory changes. While short-term volatility remains a challenge, experts advocate for long-term investment strategies, portfolio diversification, and disciplined risk management. Institutional demand, liquidity conditions, and global economic indicators are expected to continue shaping Bitcoin’s trajectory. The broader crypto community is also focused on technological advancements and regulatory frameworks, which are seen as key to stabilizing market sentiment and fostering long-term growth [1].
Bitcoin’s fluctuation below $113,000 underscores the growing influence of macroeconomic factors and large investor behavior in the cryptocurrency market. Although volatility is a known characteristic of digital assets, the recent episode highlights the importance of strategic reassessment by traders and investors. As the market navigates this correction, the coming weeks may determine whether this dip marks a temporary setback or a more significant turning point in Bitcoin’s price action [5].
Source:
[1] Bitcoin Price Drop: Alarming Plunge Below $113,000 (https://coinmarketcap.com/community/articles/68921c5cc8d0247f47f33c29/)
[2] Bitcoin plummets 2.88% as Trump tariffs spark global sell-off (https://www.ainvest.com/news/bitcoin-news-today-bitcoin-plummets-2-88-trump-tariffs-spark-global-sell-2508/)
[3] Bitcoin (BTC) Price Today: Bitcoin Climbs from $113K Dip … (https://bravenewcoin.com/insights/bitcoin-btc-price-today-bitcoin-climbs-from-113k-dip-will-michael-saylors-third-largest-btc-purchase-spark-a-surge)
[4] Over 56 Million Whale Trades on Binance, Is Bitcoin … (https://www.mitrade.com/au/insights/news/live-news/article-3-1011449-20250805)
[5] Daily Crypto Signals: Bitcoin Holds Above … (https://www.fxleaders.com/news/2025/08/06/daily-crypto-signals-bitcoin-holds-above-113000-ethereum-proposes-fee-market-overhaul-amid-record-etf-outflows/)
[6] Bitcoin fell below $113,000, causing traders to buy the dip (https://www.mitrade.com/insights/news/live-news/article-3-1007754-20250803)
