Bitcoin Could See Further Pullback Near $110K as Exchange Outflows Rise, Analysts Say

• 8% drawdown vs prior 20%+ declines — modest and within normal cycle behavior

• Exchange outflows topped $250M in August, indicating holder accumulation despite near-term selling pressure.

• Large inflows (>$200M) on key dates often aligned with local price tops and short-term pullbacks.

Bitcoin price correction at $110K — read concise analysis, charts, and key takeaways to act decisively. Learn more from COINOTAG.

Bitcoin trades at $110K after an 8% correction, with exchange outflows rising as analysts highlight past deeper drawdowns.

• Bitcoin faces an 8% drawdown, modest compared to earlier 20% dips in 2024 and 2025, keeping focus on support levels.
• Exchange data shows outflows above $250M in August, suggesting accumulation even as prices trend downward near $110K.
• Inflows above $200M in August aligned with local tops, often preceding selling pressure and short-term pullbacks.

Bitcoin price correction has retreated sharply after reaching record highs, leading to questions over whether the recent 8–10% correction shows weakness or normal market behavior. The digital asset peaked above $110,000 earlier in 2024 but has since fluctuated between $60,000 and $122,000.

Most recently the price action has been trending sideways. According to analyst IT Tech on X, such corrections are routine within long-term cycles. The analyst emphasized that earlier drawdowns during 2024 and early 2025 reached over 20%, yet the bullish structure endured.

What is the current Bitcoin trading range and how has it shifted?

Bitcoin trading range narrowed to roughly $95,000–$122,000 over recent weeks, with early August highs near $120k–$122k and mid-August attempts toward $125k. By August 25 the price dropped closer to $110,000, marking an approximate 8% drawdown from the latest peak.

How do exchange netflows correlate with price action?

Exchange netflows show sustained outflows through August 15–25, with several days above $100M and one spike above $250M on August 20. Historically, large inflows (notably >$200M on August 9) have aligned with local tops and subsequent selling pressure. These patterns suggest accumulation on outflows but liquidity-driven selling when inflows spike.

BTC price drawdown analysis chart, Source: IT Tech on X

By numerical measure, the current 8% pullback is smaller than earlier 20%+ corrections that drove price as low as $55,000 in past cycles. That context matters for risk management: smaller drawdowns frequently reflect profit-taking or short-term sentiment shifts rather than trend reversals.

Why did inflows spike on certain August dates and what followed?

Large inflows on August 5, 9, 13, and 22 coincided with local rally points. The August 9 inflow above $200M preceded a short-term top, supporting the interpretation that large spot inflows often represent selling pressure from traders converting to fiat or stablecoins at higher prices.

BTC Spot Inflow/Outflow chart, Source: Coinglass

Several inflow days exceeded $100M, with one surpassing $250M on August 20. Those inflow events often mark liquidity entering exchanges that can accelerate sells, while sustained outflows typically imply accumulation into cold storage.

Frequently Asked Questions

Is an 8% Bitcoin correction a sign of long-term weakness?

An 8% correction is not necessarily long-term weakness; it is consistent with routine volatility. Historical larger drawdowns (20%+) did not invalidate longer-term bullish structures. Monitor support near $108k–$110k and exchange netflows for confirmation.

How should traders interpret large exchange outflows?

Large outflows generally indicate accumulation and reduced on-exchange liquidity. If outflows persist while price stabilizes, it suggests holders are moving to private storage rather than selling immediately.

When do inflows indicate selling pressure?

Spikes in inflows above $200M have historically aligned with local tops and subsequent short-term pullbacks. Inflows concentrated over a few days increase the chance of near-term selling pressure.

Key Takeaways

• Modest correction: The 8% drawdown is within normal volatility and smaller than prior 20%+ declines.
• Exchange signals: Outflows above $250M point to accumulation; inflows >$200M have preceded local tops.
• Risk plan: Watch $108k–$110k support and netflow patterns; use position sizing and stop levels to manage drawdowns.

Conclusion

Bitcoin price correction to around $110K reflects short-term volatility in a broader uptrend, supported by heavy exchange outflows and periodic inflow-driven tops. COINOTAG recommends monitoring netflows and key support levels for actionable signals. Stay updated on netflow data and price behavior to adapt risk management strategies.