Bitcoin Slips to $115K as Profit-Taking Accelerates, Tariff Shock Weighs on Risk Sentiment
Bitcoin and broader crypto markets came under renewed pressure Thursday into Friday as heavy profit-taking and a fresh round of U.S. trade tariffs disrupted market momentum.
BTC Retreats as Selling Escalates
Bitcoin (BTC) dropped 2.3% over the last 24 hours to trade around $115,500 during Asia hours, according to CoinDesk data. The decline follows a steep $6–$8 billion wave of profit-taking in late July, according to blockchain intelligence firm CryptoQuant, marking the third major realization phase of the current cycle.
The July selloff was driven largely by newer whale addresses—entities that acquired BTC within the last 155 days—and was punctuated by the unloading of 80,000 BTC by a long-time holder on July 25. That move triggered a surge in exchange inflows, reaching 70,000 BTC in a single day—typically a strong signal of exit intent near local tops.
Ethereum whales also joined the exodus, cashing out wrapped assets and stablecoins such as WBTC, USDT, and USDC, with daily realized profits hitting up to $40 million, further underscoring a broad risk-off tone across digital assets.
Trump’s Tariff Surprise Sparks Global Market Selloff
Markets were further rattled by the White House’s announcement of sweeping new tariffs, including fresh measures aimed at Canada. The news pushed Asian equities lower at Friday’s open, with Japan’s Nikkei 225 down 0.65% and Korea’s KOSPI also opening in the red.
Bitcoin, long considered a hedge against macro uncertainty, has shown growing sensitivity to equity drawdowns in recent tariff cycles. Data from CoinGlass shows roughly $260 million in long BTC positions were liquidated within four hours, reflecting how tightly crypto is currently linked to global risk flows.
Post-Rally Consolidation May Be Taking Hold
CryptoQuant analysts suggest BTC may be entering a consolidation phase similar to those seen after previous profit-taking spikes. Historically, such cycles have lasted between two and four months.
One sign of weakening U.S. demand is the negative flip in the Coinbase premium index, which tracks the price gap between Coinbase and global crypto exchanges. A negative spread implies American buyers are no longer driving price premiums—a sign of softening appetite.
Market maker Enflux echoed a cautious outlook in a note to CoinDesk:
“Unless BTC or ETH can convincingly reclaim recent highs, we expect price action to remain sideways and rotational, rather than trend-driven.”
Market Snapshot
- BTC: Down 2.3% to ~$115,500, struggling to hold support amid macro pressure.
- ETH: Steady near $3,800 after a 50% monthly rally—its best performance since 2022—fueled by strong ETF inflows and bullish forecasts targeting $15K–$16K.
- Gold: Rose to $3,296 before easing to $3,287.39, down 0.38%, as a strong dollar offsets inflation concerns.
- Nikkei 225: Opened lower by 0.65%, with the broader Topix index flat.
- S&P 500 Futures: Marginally lower, as investors digest earnings and brace for Friday’s U.S. jobs report.
