Key Notes
- Bitcoin stalled beneath $120K whereas Ethereum surged to recent all-time highs.
- Weak whale demand and ETF outflows restricted BTC upside.
- Spinoff market knowledge reveals a $3 billion cluster of quick positions at $117,800.
Bitcoin’s worth stalled at round $117,000 on Saturday, Aug 23, with intraday beneficial properties capped at simply 3%. Against this, Ethereum (ETH) surged greater than 10% to succeed in a recent all-time excessive of $4,900. This transfer adopted dovish feedback from Federal Reserve Chair Jerome Powell on the Jackson Gap symposium, signaling decrease rates of interest.
Fed Watch Device Reveals 75% probability of fee reduce after Fed Chair Speech on Friday | Supply: CME Group
Powell famous that draw back dangers to employment have risen, opening the door for a attainable fee reduce in September. In response, CME Group’s Fed Watch tool reveals analysts now pricing in 75% of a fee easing within the subsequent FOMC slated for September 17, 2025.
Altcoins reacted strongly with ETH, Ripple (XRP), Solana (SOL), and Cardano (ADA) all posting double-digit beneficial properties prior to now 24 hours, consolidating above key resistance ranges at $4,750, $3, $200, and $0.90, respectively, on the time of publication.
Bitcoin, nonetheless, didn’t maintain tempo, rapidly retreating to $115,600, after a rejection from its intraday peak of $117,370. Market metrics spotlight three predominant causes behind BTC’s underwhelming efficiency in comparison with its rivals.
1. Bitcoin Sees Weak Demand Amongst Coinbase Whale Merchants
One main issue has been weak institutional demand. Cryptoquant’s Coinbase Premium Index, which measures the distinction between Bitcoin costs on Coinbase Professional, dominated by US-based company buyers and retail-dominated Binance, fell to 0.002%, its lowest since Aug. 1.
Bitcoin Premium Index falls to 21-day low on August 22 | Supply: CryptoQuant
When this metric developments damaging or near-zero, it indicators that company buyers are exhibiting little urge for food, leaving retail merchants to drive market exercise. The 21-day low studying on Fridays urged that whereas retail participation was robust, whale consumers within the U.S. remained hesitant.
This cautious stance amongst establishments has weighed closely on Bitcoin’s capacity to push larger towards its layer-1 rivals.
2. Bitcoin ETFs Did not Register a Single Day of Influx this Week
ETF flows this week additional emphasised investor preferences, sidelining Bitcoin. In keeping with Farside Buyers, Bitcoin funds recorded $23 million in outflows on Friday.
This meant that the Bitcoin ETF didn’t register a single day of web inflows this week, shedding $1.2 billion as withdrawals exceeded deposits in six consecutive buying and selling days courting again to Aug. 15.
Bitcoin ETF Flows August 2025 | Supply: Farside Buyers
In distinction, Ethereum ETFs pulled in $337 million in web inflows on Friday after taking in $287 million on Thursday.
This divergence highlights how investor capital rotated towards Ethereum and different altcoins following Powell’s remarks, leaving Bitcoin sidelined within the rally. With out ETF inflows to help upward strain, BTC’s upside trajectory was inevitably capped.
3. BTC Bulls Face $3B Resistance Cluster at $117,800
Spinoff market knowledge provides additional insights into Bitcoin’s laggard worth motion beneath $120,000 on Friday. Coinglass liquidation maps present the distribution of leveraged positions throughout key worth ranges. At first look, sentiment leans bullish, with complete lengthy leverage of $6.86 billion narrowly exceeding shorts at $6.64 billion.
Bitcoin Liquidation Map as of August 23, 2025 | Supply: Coinglass
Nonetheless, a deeper look reveals over $3 billion value of shorts clustered at $117,800, practically 50% of all energetic draw back bets. Such concentrated quick leverage incentivizes strategic sell-offs, as merchants try to forestall a breakout past that key worth degree. Bitcoin’s rejection from the intraday excessive of $117,377 aligns carefully with this resistance wall.
Bitcoin Value Forecast
Given the $117,800 resistance cluster, Bitcoin is unlikely to maintain a clear break above $120,000 with out recent inflows. Until bullish liquidity overwhelms quick incentives, near-term worth motion might consolidate between $113,500 help and $118,000 resistance.
A decisive shut above $118,000 might set off a brief squeeze, setting the stage for a push towards $123,000. Conversely, failure to defend $113,500 might open a retracement path again towards $110,000.
Disclaimer: Coinspeaker is dedicated to offering unbiased and clear reporting. This text goals to ship correct and well timed info however shouldn’t be taken as monetary or funding recommendation. Since market situations can change quickly, we encourage you to confirm info by yourself and seek the advice of with an expert earlier than making any choices primarily based on this content material.
Ibrahim Ajibade is a seasoned analysis analyst with a background in supporting varied Web3 startups and monetary organizations. He earned his undergraduate diploma in Economics and is at the moment finding out for a Grasp’s in Blockchain and Distributed Ledger Applied sciences on the College of Malta.
