Bitcoin's value falls below the $110,000 mark, with traders monitoring the $105,000 support level for a potential recovery.

In the world of cryptocurrency, Bitcoin (BTC) has been making headlines recently due to its price action. Several factors are influencing Bitcoin's current trend, including whale activity and inflows into Bitcoin Exchange-Traded Funds (ETFs).

At press time, Bitcoin was trading at around $108,516, down 3.66% in the last 24 hours. This dip below $110,000 represents a critical juncture, with key support at $105,000 and resistance around $118,000.

The Technical Picture

Technical indicators are providing some insights into Bitcoin's current trend. The Relative Strength Index (RSI) for Bitcoin has cooled to 40, approaching oversold levels. This suggests that the selling pressure may be easing. The Stochastic RSI for Bitcoin is at 27, hinting that downward momentum may be easing as well.

However, TradingView's data shows 13 sell signals against only three buy signals on the daily chart for Bitcoin, indicating a bearish trend.

ETF Inflows and Whale Activity

SoSoValue reports $178.9 million in net inflows into U.S. spot BTC ETFs on August 28. This influx could provide a foundation for a sustained rally, even amid short-term dips. Analysts note that these flows into Bitcoin ETFs could be a positive sign for the future of Bitcoin's price.

OTC trader Jake Ostrovskis has noted notable activity in December BTC call spreads ($125K/$160K), which could indicate a bullish outlook for the end of the year.

Institutional Interest

Investors should also watch for the interaction between whale activity, ETF flows, and technical indicators like RSI and MVRV bands. However, it's important to note that there are no specific publicly available data on which institutions invested how much money in U.S. Bitcoin ETFs on August 28, 2021. Institutional interest and investments in Bitcoin ETFs significantly increased only after the U.S. Securities and Exchange Commission (SEC) approved Spot Bitcoin ETFs beginning in January 2024, with major players like BlackRock’s iShares Bitcoin Trust reaching over $80 billion in assets under management.

The Long-term Outlook

Despite the current dip, Bitcoin's long-term outlook remains bullish. This is supported by institutional adoption, ETF inflows, and upcoming halving dynamics. Historically, halving events reduce BTC supply growth, which can create bullish momentum as demand increases.

The upcoming Bitcoin halving in 2024 remains a potential catalyst for price acceleration. Omkar Godbole, Chartered Market Technician at CoinDesk, expects continued gains, with December BTC call spreads targeting prices as high as $190,000.

In the world of cryptocurrency, Bitcoin's price action is always a topic of interest. As we move forward, it will be fascinating to see how these factors play out and what impact they will have on Bitcoin's price.

Elsewhere in the cryptocurrency market, Ethereum (ETH) price today is $4,336, a 5.5% decrease over 24 hours.

Bitcoin's value falls below the $110,000 mark, with traders monitoring the $105,000 support level for a potential recovery.