Analysis Company Explains Why Bitcoin Fell – Shares Levels That Must Be Protected to Prevent Further Declines

Cryptocurrency analysis firm CryptoQuant has published a noteworthy assessment of the recent decline in the price of Bitcoin (BTC).

According to the company’s data, the price of BTC fell by 4% in a short period of time, from $118,920 to below $114,000. This move occurred immediately after US President Donald Trump announced new tariffs.

During the drop, over $195 million worth of long positions in futures were liquidated. At the same time, a total of 21,400 BTC belonging to short-term investors were transferred to exchanges at a loss. CryptoQuant noted that this behavior has been observed in similar price drops before. For example:

• July 15, 2025: 50,134 BTC moved to exchanges
• July 25, 2025: 39,105 BTC sent to exchanges

This move has brought Bitcoin to the edge of a critical on-chain support cluster, according to the firm’s analysis. CryptoQuant noted that this level is defined as a “gap” below which there is weak liquidity and weak support.

According to the analysis firm, the critical areas to watch for the BTC price are as follows:

• Onchain support: $111,600
• Technical support (previous ATH): $112,000
• Traders’ Realized Price: $105,500

*This is not investment advice.