Written by: Dingdang (@XiaMiPP)
After several unsuccessful attempts to break through $120,000, Bitcoin's price has pulled back and consolidated, with the crypto market experiencing another correction today. According to OKX market data, Bitcoin dropped 3.35% in 24 hours, breaking below the daily support line, currently trading at $114,840; Ethereum fell 5.96% in 24 hours, now at $3,635; SOL has been declining for the fifth consecutive day with almost no signs of rebound, currently at $168.
Currently, the market sentiment is in a stalemate, with increasing divergence between long and short positions.
Risk sentiment is also reflected in liquidation data. In the past 24 hours, 162,820 traders were liquidated, involving funds of $637 million. Among these, long position liquidations amounted to $588 million, while short positions were $48.76 million. The largest single liquidation occurred on Binance's ETHUSD perpetual contract, with a liquidation amount of $13.79 million.
CryptoQuant data shows that ETH and Altcoin contract trading volume has rapidly warmed up recently, with the latest statistical value reaching $223.6 billion, a five-month high, suggesting a potential increase in speculative enthusiasm.
However, Coinglass.com data indicates that BTC contract open interest, which reached a historical high of $86.864 billion on July 18, has slightly decreased to $84.13 billion, releasing some leverage pressure and showing the market is slowly contracting from its peak.
Fund Sentiment Turns Cautious, ETF Inflows Show Divergence
According to sosovalue.com data, since July 21, Bitcoin spot ETF has experienced consecutive net outflows after a short-term concentrated net inflow, indicating that fund sentiment is shifting from positive to cautious. In contrast, Ethereum spot ETF has not recorded clear outflows, but inflow intensity is weakening, suggesting the market may be reserved about future policy expectations and market developments.
Bitcoin dominance (BTC.D) has seen a staged rebound after a significant drop on July 21, with Altcoins gradually weakening, potentially indicating a new shift in sector strength relationships.
On-chain analyst Yujin monitors that a whale who accumulated a profit of $73.96 million in ETH trading has started buying ETH again. The address transferred 173 million USDT to Wintermute in the past 4 hours and subsequently received 20,000 ETH, valued at approximately $74.06 million.
Previously, this whale bought 132,000 ETH at an average price of $2,540 in June and sold 113,600 ETH at an average price of $2,923 in July, realizing a profit of $43.5 million. Currently, the address holds 40,000 ETH with an average holding price of $3,121.
Onchain Lens also shows that a newly created wallet has again received 23,314 ETH from Galaxy Digital, valued at approximately $88.27 million. The wallet currently holds 62,966 ETH, with a total value of around $233 million.
The story for contract trader AguilaTrades is less smooth. His high-leverage BTC long position on HyperLiquid was partially liquidated again, with cumulative losses reaching $39.8 million, and account funds are nearly zeroed out.
Strategic Game in Divergence: Is ETH the Main Line, with Altcoins Becoming Sacrificial Lambs?
Crypto KOL @0xSunNFT posted on social media that the current market has severe long and short divergences, and he has established a hedged position: long ETH while shorting a basket of underperforming Altcoins at a ratio of approximately 1:1. His strategy logic is: ETH is the main rising asset this round, and holds a prominent position in stablecoin and infrastructure narratives; institutional funds increasing ETH through stock financing are unlikely to spread to non-mainstream cryptocurrencies.
0xSun pointed out that if the market continues an upward trend in the second half of the year, ETH will likely continue to lead; if the market weakens, ETH still has institutional support, while Altcoins are more likely to be the first to fall.
However, according to on-chain data, a newly created wallet address recently withdrew various tokens worth about $4.2 million from Binance, specifically including: 80,126 LINK (approximately $1.46 million), 110.34 billion SHIB (approximately $1.45 million), 3.44 million MATIC (approximately $762,000), and 142.62 ETH (approximately $552,000). The current ownership of this address remains unclear.
Conclusion
Bitcoin has repeatedly failed to break through key resistance levels, while Ethereum continues to consolidate at high levels without breakthrough, and fund sentiment is gradually turning conservative. With ETF flows diverging, whales frequently adjusting positions, and macro policy disruptions intertwining, the market is showing a thick defensive sentiment as it enters August. At this sensitive moment, even slight fluctuations might become the fuse for a new round of long and short battles. For investors, this might not be a window for active moves, but rather a patient stage of maintaining positions and waiting for clear direction.
