Bitcoin continues its decline for the second consecutive day, signaling a cooling period after months of rapid growth. Leading BRN analyst Valentin Fournier told CryptoSlate that the correction is marked by lower trading activity and slowing inflows into crypto-backed ETFs.
“We view this as a potentially healthy reset, especially after the liquidation of excess long positions. We anticipate further weakness, with Bitcoin likely to test the $110,000 support within the next few days,” Fournier explained.
Large-Scale Profit-Taking Pressures Market
Profit-taking by major investors continues to weigh on the “digital gold.” On July 25, Galaxy Digital sold 30,000 BTC ($3.5 billion), according to Lookonchain. CryptoQuant’s research head Julio Moreno noted that overall exchange inflows reached 34,000 BTC in a single day, directly influencing price dynamics. However, Moreno emphasized that these inflows do not always signal outright selling.
“Alongside today’s major Bitcoin transaction, Binance, Bybit, and Gate saw a spike in open interest—about $4 billion over the last 24 hours—indicating many new short positions. The 30,000 BTC from Galaxy Digital may be posted as collateral,” Moreno added.
Coinciding with today's large transfer of Bitcoin, Binance, Bybit and Gate have seen a sharp increase in open interest in the last 24h, ~$4 billion.
— Julio Moreno (@jjcmoreno) July 25, 2025
This mean shorts jumped in.
Binance and Bybit received an important chunk of the coins transferred today. pic.twitter.com/Kgn8UDka0Z
CryptoQuant contributor Axel Adler Jr. noted that the recent decline is well within “normal volatility” and far from panic levels. “Net realized profit/loss charts show investors locking in gains during market rallies. We may see one or two more waves of profit-taking before a deeper correction,” he said, echoing Fournier’s view that such ‘healthy pullbacks’ help reset overheated markets and support longer-term uptrends.
The chart shows that over the last quarter, the maximum price 'drops' on the 5-minute timeframe reached -10% in early June and -12% in mid-month, while the average weekly drawdown (green line) holds at 3.8%. The current pullback of -6% is within normal volatility range, being… pic.twitter.com/eEWPuz4q9P
— Axel 💎🙌 Adler Jr (@AxelAdlerJr) July 25, 2025
Altcoins Mirror Bitcoin’s Moves
In the past 24 hours, top-10 altcoins mirrored Bitcoin’s trajectory, with XRP dropping 2.4% and Dogecoin falling 1.8%, according to Foreck.info data.
Bitunix crypto analyst Dean Chen also linked the market’s dip to profit-taking after a sustained rally. “Structurally, prices remain well supported above key levels, with no major breakdowns. This suggests we’re still in a consolidation phase, not a full-scale bear market. Once uncertainty fades, accumulation could resume,” he concluded.
Long-Term Outlook Remains Positive
Analyst James Check, however, believes a $200,000 target for Bitcoin by then remains unlikely. And we previously reported the Bitcoin forecast for the week