Bitcoin Pullback to $121,800: Is This a Temporary Drop Before the Surge?

Jakarta, Pintu News – On Thursday morning, Bitcoin (BTC) hit an all-time high of $124,400 (around Rp2.01 billion), driven by strong institutional demand, bullish technical indicators, and favorable policy support in the United States. This moment pushed the crypto market capitalization to a record level of $4.18 trillion.

However, after passing that level, Bitcoin experienced a correction and fell back to around $121,800 (approximately Rp1.96 billion). This has sparked questions among traders and investors, is this drop just a temporary break before the Bitcoin price resumes its rise?

1. Factors driving the rise of Bitcoin

The main cause of Bitcoin’s recent price surge is strong institutional demand. Large companies such as SpaceX which holds over 8,000 BTC, and Thumzup Media which just announced a $50 million investment to add to their crypto reserves, reflect the trend of large accumulation by institutions.

In addition, the US government ‘s crypto-supportive policies, including the removal of banking restrictions for crypto companies and the opening of retirement accounts for digital asset investments, further strengthened the positive sentiment in the market.

Also Read: 10 Crypto Airdrop Telegram 2025: How to Claim Free Tokens from Telegram to DeFi

2. Technical Overview: RSI, MACD, and Fibonacci Levels

Technically, Bitcoin managed to break some important levels such as the 7-day SMA at $118,892 and the 200-day EMA at $101,566. The MACD indicator is also showing its most bullish reading since July 2025, while the RSI (Relative Strength Index) is at 68.5, indicating that there is still room for upside before reaching overbought conditions.

However, after reaching a high of $124,400, Bitcoin experienced a correction. Fibonacci levels suggest that the next major resistance is around $126,870. If the price manages to break this level, Bitcoin has the potential to continue rallying to higher levels.

3. Post-Surge Correction: Normal or Dangerous?

The correction that followed Bitcoin’s price surge has many investors wondering whether the market will continue to rally or reverse. Vikram Subburaj, CEO of Giottus Crypto Platform, sees the $120,000 level as a “solid floor” for Bitcoin, and he predicts that $126,000 is a breakout level that could pave the way to the $150,000 price.

With ETF support growing and institutional adoption on the rise, many analysts see this dip as an opportunity to buy rather than a trend reversal signal.

4. Policy Influence and Institutional Demand

Bitcoin’s significant price increase has been driven by two main factors: institutional demand and strong policy support from the US government. Recently, US-listed Bitcoin Exchange-Traded Funds(ETFs) recorded $1 billion in weekly fund flows, bringing the total funds managed by Bitcoin ETFs to $154 billion. This shows deep institutional interest in Bitcoin.

In addition, more cryptocurrency-friendly US government policies, such as the passage of the GENIUS Act that introduced a federal stablecoin framework, further added to the optimism in the market.

5. What Should Investors Pay Attention to?

Although this Bitcoin price correction looks significant, many analysts consider it a temporary break in the long-term uptrend. Strong ETF volumes, institutional accumulation, and policy support suggest that Bitcoin has the potential to resume its rise after this consolidation.

However, investors should keep an eye on the $120,000 level as strong support and $126,000 as important resistance. If Bitcoin manages to break this resistance, the price could continue to rally towards higher targets, possibly even reaching $150,000.

Conclusion

Bitcoin’s price correction after reaching $124,400 appears to be only a temporary pause in a longer bullish journey. With institutional support and supportive policies, Bitcoin has the potential to continue its journey towards higher prices. Investors are advised to monitor technical and market levels closely, as any dip could be an opportunity to buy into this long-term uptrend.

Also Read: 7 Ethereum (ETH) Developments to Anticipate in 2025

Follow us on Google News to get the latest information about the world of crypto and blockchain technology. Check today‘ s bitcoin price, today’s solana price, pepe coin and other crypto asset prices through Pintu Market.

Enjoy an easy and secure crypto trading experience by downloading Pintu crypto app via Google Play Store or App Store now. Also, get a web trading experience with various advanced trading tools such as pro charting, various types of order types, and portfolio tracker only at Pintu Pro.

*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• James Halver / NewsBTC. Bitcoin Pulls Back to $121,800 After Record High: Is This Just a Breather Before the Next Leg Up?. Accessed August 15, 2025.