Bitcoin Price Retreats to $116K After Trump Signs GENIUS Act – BTC Technical Analysis

Quick Take

• BTC currently trading at $116,994.87 (-0.86% in 24h) • Bitcoin’s RSI at 61.86 suggests neutral momentum with room for upside • Trump’s GENIUS Act signing provides regulatory clarity for stablecoins, boosting crypto sentiment

What’s Driving Bitcoin Price Today?

The BTC price is experiencing a minor pullback today following President Trump’s signing of the GENIUS Act on July 21st, which establishes comprehensive regulatory standards for stablecoins. While this legislation represents a significant positive development for the broader cryptocurrency ecosystem, Bitcoin has retreated from its recent highs as traders engage in profit-taking activities.

This consolidation comes just days after Bitcoin reached a new all-time high above $123,000 on July 14th during what analysts termed “crypto week” in Washington. The recent institutional activity has been particularly noteworthy, with Semler Scientific adding $25 million worth of Bitcoin to their treasury on July 17th, bringing their total holdings to 4,846 BTC. Similarly, Metaplanet’s substantial $93.6 million Bitcoin purchase of 797 BTC demonstrates continued institutional confidence despite short-term price volatility.

The current BTC price action reflects a healthy correction after the explosive rally to new highs. Geopolitical tensions and natural profit-taking following the 60%+ gains from Bitcoin’s previous consolidation levels have contributed to the recent selling pressure.

BTC Technical Analysis: Mixed Signals Emerge

Bitcoin technical analysis reveals a complex picture as the cryptocurrency consolidates below its recent all-time high. The BTC RSI reading of 61.86 indicates that Bitcoin remains in neutral territory, suggesting there’s room for additional upside movement without entering overbought conditions.

The moving average structure remains decidedly bullish, with Bitcoin trading well above all major SMAs. The BTC price sits above the 7-day SMA at $117,941.56, though it’s currently testing this level as immediate support. More importantly, Bitcoin maintains significant distance above the 200-day SMA at $97,944.87, confirming the long-term uptrend remains intact.

The MACD histogram shows -56.9273, indicating bearish momentum in the short term. However, the main MACD line at 2881.5647 remains well above the signal line, suggesting the overall trend strength persists despite current consolidation.

Bitcoin’s position within the Bollinger Bands at 0.6454 indicates the cryptocurrency is trading in the upper portion of its recent range but hasn’t reached extreme levels that would suggest an immediate reversal.

Bitcoin Price Levels: Key Support and Resistance

Based on Binance spot market data, critical Bitcoin support levels emerge at $105,100.19 for immediate support, with stronger support at $98,200.00. These levels represent significant areas where institutional buyers have previously stepped in.

The BTC resistance remains at $123,218.00, representing both the immediate and strong resistance level where Bitcoin peaked during its recent rally. A decisive break above this level could signal continuation toward the psychological $130,000 mark.

The daily Average True Range of $2,896.03 suggests Bitcoin traders should expect volatility of approximately $2,900 in either direction on any given day. This volatility measure is elevated compared to traditional assets but represents normal conditions for Bitcoin during strong trending periods.

The pivot point at $117,712.87 aligns closely with current BTC price action, making this a critical level to watch for directional bias in the coming sessions.

Should You Buy BTC Now? Risk-Reward Analysis

For aggressive traders, the current BTC price presents an attractive entry opportunity given the recent regulatory clarity and continued institutional adoption. The risk-reward profile favors buyers, with immediate resistance only 5.3% above current levels while the nearest strong support sits 11.4% below.

Conservative investors might consider dollar-cost averaging into positions, taking advantage of any further weakness toward the $105,100 support level. The regulatory developments, particularly the GENIUS Act signing, provide a foundation for sustained institutional interest in Bitcoin and broader cryptocurrency adoption.

Swing traders should monitor the BTC/USDT pair closely around the $117,712 pivot level. A break above this level with volume could signal a quick move back toward resistance, while failure to hold might target the $105,100 support zone.

Risk management remains crucial, with stop-losses below $105,100 for new long positions. The overall trend classification of “Very Strong Bullish” supports a bias toward buying dips rather than selling rallies.

Conclusion

The BTC price consolidation near $117,000 represents a healthy pause after Bitcoin’s remarkable surge to new all-time highs. While short-term technical indicators show mixed signals, the combination of regulatory clarity from the GENIUS Act and continued institutional accumulation creates a supportive environment for Bitcoin’s next leg higher. Traders should watch the $117,712 pivot level for directional cues over the next 24-48 hours, with a break above targeting resistance and failure potentially testing the $105,100 support zone.

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