Bitcoin price prediction: BTC extends decline to 11-day low offsetting longs positions

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Bitcoin price prediction

Highlights

-Bitcoin slips 1.7% today after touching 11-day low at $114,950 in European session

-Over $30M in long positions liquidated as decline accelerates through key support levels

-Price now testing 50-day EMA and Fibonacci zones with $112,000 as deeper risk

The retracement has now pushed Bitcoin deeper into the discount zone of the bullish August swing that began from $112,000. Price action has already slipped below the 0.618 Fibonacci retracement level of that advance. The 50 day exponential moving average proved decisive, halting the decline before it could test the deeper 0.786 retracement threshold located at $114,600. At the time of writing, Bitcoin is trading around $115,500, holding a daily decline of about 1.7% during the European session.

Bitcoin price dynamic (July - August 2025). Source: Tradingview

The technical structure reflects growing vulnerability. A sustained break below the 50 day exponential moving average could expose Bitcoin to a larger correction, possibly dragging price toward the August low at $112,000. Such a move would deepen weekly losses and test the strength of dip buyers who previously supported the market. The retracement levels and moving averages are acting as clear decision points for traders monitoring whether this correction develops further or stabilises.

Bitcoin finds temporary support at 50-day EMA

Market structure has also been shaped by liquidations. Today’s decline has been accompanied by sizeable forced closures of leveraged long positions. As price slipped through support levels, over $30 million in long positions were liquidated, marking the largest cluster of liquidations for the session. The size of these liquidations reveals fragility in the market, as traders who entered late longs were forced out, accelerating the decline toward the $115,000 area.

However, this liquidation flush has two potential implications. On the one hand, continued fragility risks drawing in new waves of selling if support fails. On the other hand, the removal of leveraged longs could help reset positioning, opening the door for dip buyers to step in at technical supports such as the 50-day exponential moving average or the 0.786 Fibonacci retracement level.

In the short term, Bitcoin’s direction depends on whether support near $114,950 to $114,600 can hold. A rebound from this zone would help restore momentum toward the upper retracement levels. Failure to hold, however, could shift sentiment toward deeper losses and set up a retest of the early August base. The balance between forced liquidations and renewed buying interest is likely to define Bitcoin’s near-term trajectory.

Bitcoin rebounded to $119,350 after bouncing off a 4-day low, showing dip buyers stepped back in. The long/short ratio climbed to 1.7, implying renewed bullish positioning.

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