Correction, not capitulation: Bitcoin (BTC) could recover to $115,000
Bitcoin has fallen significantly since hitting its all-time high this year. BTC briefly dipped below $110,000, raising concerns about possible pressure on the market
Let's figure out what's happening in the Bitcoin (BTC) market and what to expect from the cryptocurrency price.
Bitcoin is safe
Bitcoin market risks are declining. According to Bitcoin Vector, the Risk-Off signal is weakening, moving to a low risk level. This indicates that market conditions are stabilizing after weeks of volatility.
Bitcoin has also broken out of the price squeeze that has been in place since reaching an all-time high of $124,500. The recovery above $110,000 has confirmed the end of this squeeze. With resistance weakening, BTC can now move higher, increasing the chances of a recovery in the coming weeks.
Risk-Off signal for Bitcoin. Source: Swissblock – Bitcoin Vector
On-chain data supports this prediction. Of the 19.91 million BTC in circulation, only about 2.73 million coins have been lost. That’s just 13.71% of the supply, well below the level typically associated with bear markets, where losses exceed 50% of the circulating Bitcoin.
This suggests that Bitcoin is far from capitulating. Despite recent price drops, most holders remain in profit, demonstrating resilience. The small number of coins in the red reflects investor confidence, suggesting that BTC has a solid foundation to withstand selling pressure and maintain an uptrend in the near future.
Bitcoin Profit/Loss Offer. Source: Glassnode
BTC Price Will Continue to Rise
At the time of writing, Bitcoin is trading at $111,600, just below the $112,500 resistance. The asset rebounded from $108,000 earlier this week, showing renewed strength. Holding above $110,000 provides stability, giving BTC a base for further recovery amid current market pressures.
If the current momentum continues, Bitcoin is likely to continue its gains. A break above $112,500 could open the door to $115,000, strengthening bullish sentiment. This move would confirm an improvement in market structure and signal a new recovery attempt.
Bitcoin Price Analysis. Source: TradingView
Risks remain if the selling resumes. If Bitcoin fails to maintain momentum, the price could fall to $110,000. A deeper correction could see it fall to $108,000, which would worry investors about potential short-term weakness.
Source: cryptonews.net
