Bitcoin Slides to $113K – Is the Bull Run Over? Market Correction Analysis

Bitcoin is experiencing a significant correction today, dropping from its historic peak of $124,000 to approximately $113,000. This 8.9% decline has sparked intense debate about whether the 2025 bull run is coming to an end or if this represents a healthy pullback in the world’s leading cryptocurrency.

Current Bitcoin Market Status

• Current Price: $113,000 (-8.9% from ATH)
• 24-Hour Change: -2.1%
• All-Time High: $124,000 (reached last week)
• Market Cap Impact: $200+ billion wiped from Bitcoin’s valuation
• Trading Volume: Elevated at 40% above 30-day average

What’s Behind Bitcoin’s Correction?

1. Massive Profit-Taking Wave

After Bitcoin’s meteoric rise to $124,000, early adopters and institutional investors are securing profits. Whale wallet analysis shows significant BTC movements to exchanges, indicating large-scale selling pressure.

2. Technical Resistance Breakdown

Bitcoin failed to maintain above the critical $120,000 resistance level, triggering automated sell orders from algorithmic trading systems. The breakdown has created a cascade effect among technical traders.

3. Bitcoin ETF Outflows

Institutional Bitcoin ETFs recorded their largest single-day outflows since inception, with over $523 million withdrawn. This institutional retreat signals growing caution among professional investors.

Critical Bitcoin Support Levels

Immediate Support Zones

• $110,000-$113,000: Current testing range
• $105,000: Major psychological support
• $100,000: Critical round-number support

Resistance Levels

• $118,000: Initial resistance on any bounce
• $120,000: Key breakout level to reclaim
• $124,000: Previous all-time high

Bitcoin Technical Analysis

The current correction shows several key patterns:

Bearish Signals:

• Breaking below 20-day moving average ($118,500)
• RSI dropping from overbought territory
• Volume spike on selling pressure

Bullish Factors:

• Still trading above 50-day MA ($98,000)
• Long-term uptrend remains intact
• Strong on-chain fundamentals persist

Historical Bitcoin Corrections Comparison

Bitcoin corrections are historically common during bull runs:

• 2017 Bull Run: Multiple 30-40% corrections
• 2020-2021 Cycle: 50%+ pullbacks were normal
• Current 2025 Cycle: 8.9% correction (relatively mild)

This perspective suggests the current pullback remains within normal parameters for Bitcoin’s volatile nature.

Expert Bitcoin Price Predictions

Short-Term (1-2 weeks):

• Support test at $100,000-$110,000 range
• Potential bounce if support holds
• Continued volatility expected

Medium-Term (1-3 months):

• Consolidation between $100K-$120K likely
• Institutional sentiment will drive direction
• Regulatory developments remain key

Long-Term (6-12 months):

• Fundamental adoption trends support higher prices
• Potential new ATH above $130,000
• Halving effects still supporting price

Bitcoin Trading Strategies During Correction

For Conservative Investors

• Dollar-Cost Average: Spread purchases over time
• Support Buying: Consider accumulating near $110K
• Risk Management: Use only 5-10% of portfolio

For Active Traders

• Scalping Opportunities: Trade the $110K-$118K range
• Stop Losses: Set tight stops below $108K
• Volume Confirmation: Wait for volume confirmation on any bounce

Bitcoin Market Outlook

Bull Case Factors

• Institutional infrastructure continues growing
• Global adoption accelerating
• Limited supply dynamics unchanged
• Macro environment remains crypto-friendly

Bear Case Concerns

• Profit-taking pressure intensifying
• Technical breakdown below key levels
• Regulatory uncertainty persisting
• Overleveraged positions unwinding

Key Bitcoin Metrics to Watch

1. Exchange Inflows: Monitor for continued selling pressure
2. Whale Activity: Track large wallet movements
3. Futures Open Interest: Watch for leverage unwinding
4. Hash Rate: Network security remains strong
5. HODLer Behavior: Long-term holder accumulation patterns

Bitcoin Investment Recommendations

For New Bitcoin Investors:

• Wait for clearer support confirmation
• Consider gradual entry below $110K
• Focus on long-term holding strategy

For Existing Bitcoin Holders:

• Avoid panic selling
• Consider adding on significant dips
• Maintain long-term perspective

Conclusion: Bitcoin Correction or Crash?

The current Bitcoin correction to $113K appears to be a healthy pullback rather than a market crash. Key factors supporting this view:

• Relatively Mild: 8.9% correction is small by Bitcoin standards
• Strong Support: $100K level provides psychological floor
• Fundamentals Intact: Network metrics remain robust
• Historical Pattern: Similar corrections occurred in previous bull runs

However, Bitcoin investors should monitor the $110K support level closely. A break below this zone could signal deeper correction toward $100K or lower.

The cryptocurrency market has consistently recovered from corrections throughout its history. While short-term volatility is expected, Bitcoin’s long-term trajectory remains supported by growing institutional adoption and limited supply dynamics