Bitcoin is showing signs of recovery at the beginning of the week following a decline to three-week lows below the $109,000 mark. Against the backdrop of sharp selloffs and liquidations that devastated the market last week, large cryptocurrency holders played a key role in stabilizing the asset. Blockchain tracker data revealed that whales began accumulating positions, which helped Bitcoin rise 3.2% and consolidate near the $113,450 level. Additional market pressure came from massive liquidations that wiped out approximately $1.5 billion in positions in a single day, as well as the expiration of crypto options worth $22 billion, which coincided with the end of the third quarter and exacerbated volatility.
The situation in traditional markets remains tense. Investors are monitoring developments in Washington, where a budget agreement must be reached by the end of September to avoid a U.S. government shutdown. Such uncertainty strengthens caution among financial market participants, which indirectly affects cryptocurrencies as well. Nevertheless, overall interest in the sector persists: it became known that crypto exchange Kraken is in the final stages of negotiations to attract new capital, which could value the company at $20 billion, while MicroStrategy continues to increase its Bitcoin reserves, purchasing an additional 196 coins for $22.1 million. Its total asset holdings now exceed 640,000 BTC, confirming institutional investors’ confidence in the asset’s long-term prospects.
Against the backdrop of improving sentiment, most altcoins have also begun recovering. Ethereum gained 3.4%, XRP rose 3.6%, Solana increased 4.2%, while Cardano and Polygon demonstrated gains of 3.5% and 1.4% respectively. Among meme tokens, moderate recovery is also observed, indicating a partial return of interest in risk assets.
Bitcoin Technical Analysis
The technical picture for the BTCUSD pair currently looks positive. The price is holding within an ascending horizontal channel, which indicates a high probability of continued upward movement.
A key condition for further strengthening will be consolidation above the resistance level at $117,000. In this case, continued growth and updates to local highs can be expected. However, a decline below $106,000 would signal a breakdown of the current formation and open the door to a deeper fall toward the $92,000 area.
Thus, the market remains in a zone of heightened uncertainty, where support from major players and institutional purchases could become the decisive factor in maintaining the current upward momentum.
