Bitcoin futures have been trading within a range of $118,500 to $120,300. Recent data from OrderFlow analysis shows a mix of trading momentum. On July 29th, in the morning session, buyers showed strong interest, peaking at $120,305. But between 12:48 PM and 4:06 PM, the market shifted as sellers took over, creating a bearish sentiment. The OrderFlow data indicates that while buyers were strong early on, they struggled to keep up the momentum in the afternoon. Sellers gained control, hinting at a bearish trend. However, we need more confirmation for this trend to be considered steady. Key price levels to watch are: – Resistance: $120,300 to $120,500 – Support: $118,900 to $119,100 – Critical support is at $118,500, a level often tested. The current OrderFlow Intel Score is -5, suggesting a moderate bearish outlook. Sellers have a short-term advantage, but caution is advised until the price drops below $118,500 with solid evidence. If the price rises above $119,500 to $120,000, it could signal bullish potential. Traders should be prepared for both bullish and bearish scenarios, keeping an eye on confirmation signals, managing risk carefully, and staying informed about market changes. The afternoon saw a slight bearish trend as sellers took control, following buyers’ inability to hold above the $120,300 resistance. Right now, the critical support at $118,500 is crucial. Over the next few weeks, we think this price action shows consolidation in a larger bull market. This is backed by recent news that European pension funds began investing in digital assets in Q2 2025, indicating new institutional capital is entering the market. Therefore, dips might be opportunities for larger players to buy. For derivatives traders, this is a chance to manage risk using options. We recommend buying protective puts with a strike price around $118,000 to hedge against a potential drop. If the price breaks below this level, it could trigger short-term bearish positions targeting the $115,000 area. Recent statistics support a generally bullish trend, making a significant correction less likely. Open interest in CME Bitcoin futures hit a record $15 billion last week, and on-chain data shows a 12% increase in addresses holding over 10 BTC this year. This suggests that major market players are maintaining their positions despite short-term weakness. Historically, we are in a period of price discovery about 15 months after the April 2024 halving. This timing aligns with past bull runs, where sharp, brief pullbacks were common before the next upward move. We view the current situation as a healthy pause rather than a major trend reversal. For futures traders, we advise being patient before initiating new long positions. We need to see a firm defense of the $118,500 support, confirmed by positive delta and strong buying volume. A return above $120,000 would be a solid signal that the upward trend could resume. With increasing volatility, traders might also consider strategies that benefit from price movements in either direction. Using options straddles around the $119,000 level could effectively capture profits from anticipated range expansion, allowing traders to benefit from a breakout without needing to predict its direction.

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