Amid a summer simmering with market unpredictability, Bitcoin seems to be grappling with a waning bullish momentum. As of today, July 28, 2025, the cryptocurrency hovers around $120,000, a precarious position underscored by data from Deribit-listed options. This data reveals a significant positive dealer gamma at the $120,000 and $120,500 strikes, suggesting that dealers are strategically buying low and selling high to maintain neutrality. This could be inadvertently quelling volatility, but there’s more beneath the surface—and it doesn’t appear particularly rosy for BTC.
Bitcoin at a Crossroads
Bitcoin’s current stasis might be deceptive. While it flirts with the $120,000 mark, the critical support zone between $116,000 and $117,000 looms large. Should this support falter, a retest of the May high just below $112,000 seems likely. On the flip side, surmounting the $120,000 threshold could pave the way to record heights. Yet, the evidence is mounting for an impending pullback; a mere 0.12% green bar was noted on the three-line break chart on July 22, signaling a potential exhaustion of buying momentum. For further insights into the current market sentiment, see Cathie Wood’s ARK: Bitcoin’s Bullish Momentum Slows as Long-Term Holder Stacks Hit Record.
Omkar Godbole, a seasoned analyst and Chartered Market Technician at CoinDesk, observes, “The market’s current dynamics suggest that while the bullish trend hasn’t entirely dissipated, the strength behind it is dwindling. We’re witnessing a classic case of momentum exhaustion.”
Ether: Riding the Highs, Confronting the Lows
Ethereum, on the other hand, is experiencing its own rollercoaster. It recently touched a seven-month high of $3,937—a momentary triumph that quickly retracted to $3,880. The 14-day RSI didn’t corroborate this fresh peak, hinting at a bearish divergence. The MACD histogram also teases a bearish cross, with Ethereum’s native fees and revenue struggling to keep pace with its climbing prices.
The $3,510 support established last Thursday remains crucial. A breach could trigger a further decline. Conversely, should Ether break through the $3,900-$4,100 resistance range, it might chart new territories not seen since 2024.
Ripple and Solana: Cautionary Tales
Ripple’s XRP isn’t immune to the market’s whims. It recently backtracked from the $3.35 resistance level, showcasing a bearish shift in momentum as indicated by the hourly chart’s RSI. The MACD histogram crossing below zero further underscores this trend, setting sights on the July 24 low of $2.96, with potential to revisit the May high of $2.65.
Solana, meanwhile, dances above its hourly chart Ichimoku cloud, hinting at renewed upward momentum. However, the tweezer top formation at $205-$206 signals caution. Falling below the higher low at $184 could trigger a rapid descent to the 200-day SMA at $163.
Looking Forward: Market Implications
The cryptocurrency landscape is notoriously volatile, and current indicators seem to suggest a period of consolidation or even decline for top tokens like Bitcoin and Ethereum. The market’s intricate dance of support and resistance levels, coupled with nuanced technical indicators, paints a complex picture. Investors and observers alike will need to keep a keen eye on these developments as they unfold. As analysts have noted, the Bitcoin Market Top Is ‘Nowhere Near’, suggesting that the current price pause might not indicate an imminent decline.
As the market navigates these turbulent waters, questions linger: Will Bitcoin’s bullish momentum rekindle? Can Ethereum shake off its bearish indicators? And what lies ahead for Ripple and Solana amid their respective challenges? Only time—and the market’s unpredictable rhythm—will tell.
Source
This article is based on: Bitcoin Seeing Severe Exhaustion of Bullish Momentum
Further Reading
Deepen your understanding with these related articles:
- Bitcoin Price Reaches Pivotal Moment—Is $120K Next?
- ARK Flags Bearish Bitcoin Signal Despite BTC Price Stability
- BTC price in 'crisis mode' at $123K: 5 things to know in Bitcoin this week
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
