Retail sentiment hit its lowest point since June, signaling rebound potential.
Bitcoin charts reveal double-top breakdown, targeting $110K support area.
ETF inflows slow sharply, weakening demand growth and cooling momentum.
Bitcoin sentiment has shifted sharply as traders turn pessimistic after the drop below $113,000. Sentiment among retail traders has reached its most negative level since June 22.
At that time, fear intensified during U.S. airstrikes in Israel, and Bitcoin quickly rebounded from the dip. Similar crowd reactions were seen during July 9 and August 18, when swift corrections punished optimism.
Analysts suggested that panic-driven selling on August 19 resembled previous zones that triggered short-term recoveries. While retail voices have called for a bear market, experienced observers noted that extremes in sentiment often appear before trend reversals.
Technical Signals Point to Downside Risk
Bitcoin 4-hour chart highlights a double-top pattern near $122,000. According to recent chart analysis, the price faced rejection twice at that level before breaking below the ascending trendline.
The decline also pushed Bitcoin under the 200 EMA, reinforcing bearish momentum. Current trading sits near $113,381 with mounting selling pressure.
Based on the double-top projection, the next support lies between $110,500 and $110,000, marked by a horizontal zone on the chart. Analysts noted that if this area fails, deeper corrections could follow.
A rebound above $116,000 would challenge the bearish setup, emphasizing how price reacts to support levels.
Demand Growth Weakens as ETF Flows Slow
CryptoQuant analyst Julio Moreno reported that Bitcoin’s recent pause is linked directly to slowing demand growth. On-chain data shows that apparent demand, measured as a 30-day sum, has weakened.
It's the demand, stupid.
Bitcoin overall demand growth slowdown, including purchases from ETFs and Strategy, are behind the current price pause/correction.
It's remarcable how a simple on-chain metric as apparent demand reflects ETF and company's purchases. pic.twitter.com/MkMDVKbZFb
— Julio Moreno (@jjcmoreno) August 19, 2025
ETF inflows and corporate strategy purchases have both tapered off in recent weeks. From late 2024 through early 2025, demand shifts aligned closely with price action. April’s sharp downturn matched a contraction in demand before the rebound.
Current figures highlight the influence of institutional buyers and ETFs on price movement. As demand growth flattens, momentum has cooled, suggesting that renewed inflows may be required to support the next move higher.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
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