Bitcoin Price Analysis: Buyer Fatigue Drags BTC Back Below $110,000

Bitcoin (BTC) started the week on a bullish note, breaking out of its trading range and surging past $110,000  to settle at $110,251. However, it has slipped back below $110,000 as buyer fatigue set in, allowing sellers to retake control. 

Despite the decline during the ongoing session, the flagship cryptocurrency is up nearly 2% in the past 24 hours, trading around $109,275. 

Tether Announces Plans To Open-Source Its Bitcoin Mining System 

Tether CEO Paolo Ardoino has announced that Tether will work towards making its Bitcoin Mining Operating System (MOS) open-source. The move aims to enable a new wave of Bitcoin mining companies to enter the mining industry and enhance network security. The Mining Operating System is designed to create a level playing field and reduce reliance on third-party hosted software, allowing smaller players to compete with larger mining operations. MOS is built on a scalable, resilient, and modular peer-to-peer architecture and can accommodate startups ranging from Raspberry Pi configurations to extensive deployment with multiple mainframes that can manage hundreds of miners. 

The MOS will also include plugins for various mining machines, containers, and electrical equipment, allowing developers to create custom plugins for specific devices. 

Paraguay President's X Account Compromised, Claims Bitcoin As Legal Tender 

Paraguay’s government announced that President Santiago Pena’s X account may have been hacked after a post falsely declaring Bitcoin as legal tender was posted on it. The post, which was written in English and was accompanied by a Spanish translation, stated that Paraguay was launching a Bitcoin-backed reserve fund and integrating the asset into its national financial system. The message also appeared to use an official government decree, using the national coat of arms and official-looking formatting. 

The post drew skepticism due to its promotional tone, inconsistencies, and absence of communication from official government channels. There was also no confirmation on government websites and state-run media. Wu Blockchain highlighted the suspicious message, adding that all information in it was likely false. 

“The social media account of Paraguayan President Santiago Peña appears to have been compromised, with a post claiming that Bitcoin has been declared legal tender in Paraguay and that a $5 million BTC reserve has been established as part of the national treasury. However, on-chain data shows the wallet address included in the post holds only $4 and has recorded no transactions since the announcement, suggesting the information is likely false.”

Paraguayan government officials issued a statement saying the President’s X account was exhibiting irregular activity, suggesting unauthorized access. The statement urged citizens to disregard the post and await official communication. 

“The president’s official X account has presented irregular activity. which suggests possible unauthorized entry.”

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) surged past $110,000 on Monday, marking the flagship cryptocurrency’s strongest performance since June. The move also saw Bitcoin recoup its losses after a dip that saw the price test the $100,000 support. BTC sits just below its all-time high, with its latest rally driven by several factors. According to Coinglass data, over $200 million in positions were liquidated thanks to BTC’s rally, out of which $195 million were short positions, indicating the strength of the rally. Derivatives volumes also doubled, rising over 110% to $110.63 billion. Open interest also registered a substantial increase, rising over 7% to $76.6 billion. 

A key external driver of the rally was the easing of trade tensions between the US and China. Negotiations resumed in London, with markets hopeful of a deal that could reduce tariffs and ease export restrictions. 

However, key drivers remain on-chain, with CryptoQuant contributors highlighting that Bitcoin reserves on centralized exchanges have dropped from 1.55 million in July 2024 to just 1.1 million in June 2025, a decline of 550,000 BTC in under a year. Such declines indicate long-term holding patterns as investors move their assets offline for storage. As more BTC leaves centralized exchanges, the supply shrinks, pushing prices higher. 

While many expect a substantial rally, more conservative estimates predict a correction before a push higher, expecting CPI data to trigger more volatility in the market. The US Consumer Price Index (CPI) numbers are due for Tuesday, with markets fearing Trump’s tariffs could add pressure on an already volatile market. Analysts have predicted the CPI to rise 0.3% month-over-month and 2.3% year-over-year. Meanwhile, Core CPI, which excludes food and energy, is expected to rise 0.3% month-over-month and 2.9% year-over-year. A jump in inflation could reduce the possibility of a Fed rate cut. 

BTC traded in positive territory the previous weekend, rising 0.69% on Saturday and almost 1% on Sunday to reclaim $105,000 and settle at $105,779. The price fell to an intraday low of $103,768 on Monday as selling pressure intensified. However, it rebounded from this level to register a marginal increase and settle at $105,902. BTC lost momentum on Tuesday, falling 0.44% to $105,436. Sellers retained control on Wednesday as the price dropped almost 1%, slipping below $105,000 and settling at $104,752. Bearish sentiment intensified on Thursday as BTC plunged 3%, falling to a low of $100,424 before settling at $101,614.

Source: TradingView

Despite the overwhelming selling pressure, BTC recovered on Friday, rising nearly 3% and moving to $104,378. Price action remained positive over the weekend as BTC rose 1.15% on Saturday and 0.20% on Sunday to reclaim $105,000 and settle at $105,784. Bullish sentiment intensified on Monday as BTC surged over 4%, surging past the 20-day SMA and $110,000 to settle at $110,251. The current session sees the price down over 1%, trading around $109,098. With buyers losing momentum, BTC could continue declining and settle around $105,000.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Share With Others