Traders Sound Mixed Signals as Bitcoin Tests 116K Resistance - Latest August Market Pulse

The crypto market entered a critical juncture on August 7, 2025, with prominent traders offering divergent forecasts around Bitcoin’s movement near the 116K level. Current BTC price stands at $87.58K with a 24-hour decline of -0.28%, while Ethereum trades at $2.93K (-0.50%).

The Bear Case Gains Traction

Renowned analyst Vivian painted a cautious near-term scenario Beijing time, suggesting that after Bitcoin swept through the 116,666 resistance level (as previously predicted), the next phase requires discipline. Her framework calls for waiting on a decisive four-hour or daily close below 115K before initiating short positions on subsequent rebounds. The strategy involves staged accumulation: 30% entry tomorrow during Asian hours, 50% allocation by Saturday, with 20% reserves held for potential dips below 108,888. This deliberate positioning reflects lessons learned from recent volatility.

Elliott Wave theorist Liu Yudong aligned with this perspective, emphasizing that Bitcoin remaining below the 117,436 threshold signals weakness. His technical analysis suggests a pullback toward the 112,501 support zone if this key level fails to hold. The divergence between Bitcoin’s rebound progression and Nasdaq recovery patterns—where BTC has only recovered roughly 50% versus the index’s 70%—underscores underlying fragility.

Veteran trader Pigeon took an unconventional step by stepping back from active trading, describing the current market environment as choppy and difficult to navigate. His decision to “go for a walk” reflects market saturation concerns, though he remains prepared to capitalize if significant dislocations emerge.

The Bull Camp Holds Ground

Despite near-term caution, influential voices maintained conviction in upside potential. Altcoin Sherpa highlighted Bitcoin’s daily chart strength, projecting a push toward $120,000 if current support holds. He noted particularly robust technical setups in Ethereum, suggesting the asset’s historical peak stands as merely a matter of timing rather than capability.

Saint Pump forecast new all-time highs by mid-August following the successful call of early-August bottoming around August 4-5. His conviction rests on completing multi-week consolidation patterns that typically precede significant rallies.

Pentoshi emphasized Ethereum’s structural advantage, pointing to exchange reserve levels hitting their lowest in nine years—not seen since the ICO era. This supply squeeze, combined with institutional accumulation demand, creates conditions for potential irrational exuberance if buying pressure sustains.

Market Sentiment and Position Tactics

The divergence between Beijing time technical signals and market positioning reveals retail traders caught between conviction and caution. While BTC and ETH bulls outnumber altcoin believers, the absence of strong SOL enthusiasm hints at selective optimism. Profit-taking windows are being recognized, with some strategists rotating out of longs into cash positions ahead of potential volatility.

The next 48 hours will prove decisive: either Bitcoin consolidates above 115K and marches toward 120K, or capitulation below that level triggers the predicted cascade to 112,500 support zones. Until then, patience and disciplined position sizing remain the traders’ watchword.