BTC Price Risks Sharp Drop As Analysts Cite $108K And $118K Levels

The Bitcoin (BTC) price hovered near critical levels in late August 2025 as analysts debated the outlook.

Warnings of steep losses clashed with predictions of renewed strength, leaving traders focused on two price zones: $108,000 and $118,000.

Analysts Warn of $108K BTC Price Risk

Market analyst CryptoCapo said the Bitcoin price remained vulnerable. He noted that a breakdown below $108,000 could confirm a local top. At press time, the BTC price was near that support level.

According to him, losing $108,000 would open the door to a slide toward $60,000 to $70,000. He added that such a drop could trigger sharp losses in altcoins, with potential declines of 50% to 80%.

CryptoCapo explained that bearish confirmation had not yet occurred. However, he warned that the market was fragile and could react violently if support gave way.

The warning underlined how sensitive digital asset markets remained in late August 2025.

Resistance at $118K Could Restore Momentum

Analyst Ali Martinez took a different approach, pointing to MVRV momentum data. The metric compared the market value of BTC with its realized value, often used to gauge whether an asset was over- or undervalued.

Martinez said Bitcoin needed to clear resistance near $118,000 to regain a bullish outlook. Without that breakout, he argued, the Bitcoin (BTC) price risked more consolidation or further declines.

He noted that momentum signals suggested weakness at press time. Martinez urged market watchers to monitor $118,000 closely, since a move through that level would confirm renewed strength and support further gains.

The focus on $118,000 reflected how technical resistance continued to shape trader confidence. Market participants regarded it as the line separating renewed upside from ongoing uncertainty.

Longer Term Optimism Despite Near-term Pressure

Despite the warnings, several voices expressed confidence in Bitcoin’s long-term trajectory. Entrepreneur Anthony “Pomp” Pompliano said in a CNBC interview that the asset looked oversold at current levels.

He pointed to seasonal strength in September and October, particularly in the year following a halving.

Pompliano also mentioned that corporate treasuries were preparing to allocate capital into BTC.

He said retail traders had begun returning after a slower summer, adding potential support to trading volumes.

On the political side, US Senator Cynthia Lummis repeated her strong backing of Bitcoin. She described it as both a hedge against inflation and a long-term store of value.

Lummis has been among the most active pro-crypto legislators in Washington, backing bills intended to regulate the sector in a supportive way.

She predicted that Bitcoin was positioned for a significant increase in the future, though she did not give a timeline.

Her comments reinforced how political voices continued to play a role in shaping the narrative around BTC adoption.

BTC Price Outlook Depends on Holding Key Thresholds

The Bitcoin price in late August 2025 reflected a market at a crossroads. Analysts such as CryptoCapo warned that losing $108,000 could trigger capitulation.

Others, like Martinez, looked to $118,000 as the barrier that needed to fall before upside momentum could return.

While near-term uncertainty persisted, figures like Pompliano and Lummis argued for Bitcoin’s structural strength. Their views relied on seasonal patterns, institutional activity, and political support.

The coming weeks may hinge on whether Bitcoin(BTC) price holds above support or breaks resistance. At press time, momentum data pointed to weakness, but both critical levels remained in play.

Source: https://www.thecoinrepublic.com/2025/08/24/btc-price-risks-sharp-drop-as-analysts-cite-108k-and-118k-levels/