Bitcoin Price Hits Key Support at $112,000 – Bear Flag Signals Potential Drop
Bitcoin (BTC) may avoid a severe correction if it manages a weekly close above $114,000, according to traders and analysts. Currently trading around $110,715, BTC is experiencing its third consecutive week of losses, down 11% from its Aug. 14 all-time high of $124,500.
Why $114,000 Matters for BTC
The $114,000 level has acted as strong support for the past six weeks. Crypto analyst and YouTuber Sam Price emphasizes that flipping this level into support is critical to confirm bullish momentum.
“Bitcoin bulls are defending $109K support nicely,” Price noted, adding, “A weekly close above $114K would be big.” The long wick below $109,000 indicates solid buy pressure, showing bulls are actively protecting this support level.
Analyst Rekt Capital also highlighted that reclaiming $114,000 as support is essential to prevent a prolonged correction. Turning this level into resistance could extend the pullback period, reinforcing the importance of BTC closing the week above it.
Bearish Risks: Drop Toward $103,700
The support at $112,000 has become a focal point. MN Capital founder Michael van de Poppe described it as “crucial” for BTC price. If Bitcoin fails to hold above $112K, analysts warn of a potentially ugly correction.
A bear flag formation on the four-hour chart supports bearish momentum, suggesting sellers may push BTC toward $103,700, about a 6% drop from current levels. The relative strength index (RSI) remains below the mid-line, confirming downward pressure, while liquidation clusters down to $104,000 indicate deeper declines could be in play to capture liquidity.
