Bitcoin is minced after conquering USD $ 124,000 driven by favorable winds

By Hannah Pérez

Bitcoin is now corrected below USD $ 120,000, just after a new historical maximum has broken. The sudden fall exerts pain to the bullies, who see long liquidations for more than USD $ 675 million.

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Bitcoin faces severe correction after breaking a new historical maximum.
In less than a month, BTC secured a record again: this time on the USD $ 124,000.
The expectations of a rate cut, regulatory clarity and institutional appetite promoted the rebound.
But volatility has now shot out as liquidations arise on USD $ 1 billion.
Bitcoin moved momentarly below USD $ 119,000 this Thursday.

Bitcoin (BTC) is seeing a reverse of more than $ 4,000 this Thursday, after a new price maximum of price yesterday has been secured as a result of a sustained rebound fed by several winds of tail in favor.

The oldest and oldest cryptocurrency in the world marked a new record against the US dollar when conquered a price height of more than USD $ 124,000, Never seen before, on Wednesday, August 13.

Bitcoin retracts after reaching new ATH on August 14, 2025. Source: Coingcko

The price increase consolidated Bitcoin Like the fifth largest asset in the world, just above Googlewith an unprecedented market capitalization of USD $ 2.5 billion. The cryptocurrency had ensured its previous one just a month ago, by momentarly touching a price of USD $ 123,000 and a capitalization of USD $ 2.45 billion.

The new price record of Bitcoin It occurred in line with a broader upward action in the market, where Altcoins such as Ethereum (Eth) and Solarium (Sun) led with profits of more than 5% in the day. The generalized impulse resulted in a new USD record $ 4.2 billion for the total capitalization of the cryptocurrency market yesterday.

Market benefits favorable tail winds

The highest basic inflation reading than expected in the United States increased the expectations of a cutting rate rates of the Federal Reserve next month, which helped boost the cryptocurrency market.

The market in general increased probabilities over 90% of a cut for interest rates in the next Fed meeting in September, just after the publication of the inflation report on Tuesday. The CME Fedwatch tool now shows a 97.8 % probability of a 25 basic points and a 2.2 % probability of one of 50 basic points.

The hopes coincide with the bets of the operators of the decentralized market of predictions, Polymarketwhere one of the open contracts shows a 80% probability of a 25 basic points cut in September, while the probabilities of a 50 basic points cut increased to 8.3%, as noted COINDESK.

Other positive factors are favoring the bullish narrative of the cryptocurrency market, including a more favorable regulatory climate in the United States, the decrease in geopolitical tensions and the growing institutional and corporate interest in asset class. The frenzy of cryptocurrency treasures among public companies is a clear reflection of this last factor.

Bitcoin takes a reverse below USD $ 120,000

But despite the favorable winds, Bitcoin Now he is subtracting the latest profits. After reaching a cap of USD $ 124,128 in the graphics on Wednesday night (ET), the distinguished cryptocurrency has decreased 4.3% to a current price of USD $ 118,620, according to data from data from Coingcko at the time of writing these lines.

The reverse occurred immediately after the highest reading than expected of the Producer Price Index (IPP) in the United States. The indicator, which measures the prices of final demand goods and services, rose 0.9% in the month and 3.3% per year, marking the highest movement in 12 months since February and well above the inflation target of 2% of the Fed, as reported CNBC.

The drop in generalized prices in the cryptocurrency market exerted pressure to the bullies, which now face liquidations of leverage long positions (bullish bets) for more than USD $ 670 million in the last 24 hours, according to data from data from Coinglass.

The cryptocurrency market has seen liquidations for more than USD $ 1 billion – long and short – in the period, with the operators of Bitcoin and Ethereum facing the biggest blow. In the last 24 hours, 219,255 merchants were liquidated, and the larger settlement order occurred in Bybit for a value of USD $ 10 million for the BTC/USD.

Bitcoin It retreated below USD $ 119,000, a 1.5% drop in 24 hours, while this article was drafted, which, added to the liquidations, are a sign of high volatility in the market within the immediate period.

Hannah Estefanía Pérez / Diariobitcoin

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