Bitcoin has experienced two consecutive double trap setups in recent months.
Behind the price peaks of $123,000 and $124,000 was a calculated distribution strategy that invited many investors to FOMO. The key question now is: is this the end of the cycle or is it just a different leg up and ready for a full-fledged alto season?
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When Bitcoin develops peak and stealth distribution
In his latest analysis, Trader Anderson highlighted key points regarding Bitcoin (BTC) trading activities in July and August 2025.
July made the milestone a milestone as Bitcoin surpassed $123,000 for the first time, raising strong belief that the market is entering a new phase of growth. However, almost immediately, Galaxy Digital confirmed that Satoshi-Era’s wallets were sold at over 80,000 BTC, valued at around $9 billion.
Surprisingly, this massive sales barely shook the market as liquidity peaked. There was enough demand to absorb sales pressure. This was a textbook distribution play for smart money. It is to use the exit position quietly without causing bullish emotions and fresh influx, without causing collapse.
Bitcoin had risen to $124,000 by August, and its momentum continued to grow. But contrary to expectations, purchasing power turns out to be insufficient to maintain a breakout. Prices quickly lost stability and slow buyers were trapped at the top.
“The August failure was a market narration. Breakout buyers were locked in and sales in July were not noise,” analyst said on X.
This was the essence of Bitcoin’s double trap. Two consecutive peaks – one masked by a large distribution, and the other is an attractive retail investor to FOMO. Results: The perception that the market lacks true momentum.
Technical level and what comes next
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Attention is now shifting to important technical thresholds. The $112,581 level is the first significant proximity level (CCL). If the Bulls don’t follow that, a deeper correction to $98,000 is increasingly likely. Conversely, if the buyer is able to collect and hold over $116,891 (second CCL), Bitcoin can once again test the $124,000 zone.
Investors should recognize them as professional distributions within the broader market roadmap rather than interpreting July-August events as end-of-cycles.
“This is not the cause of panic. But it’s a reality check. If you’re really bullish, you should hope to reaffirm your control over Bitcoin and pass through CCLS,” Anderson shared on X.
To restore structural strength, Bitcoin must consistently hold more than $112,000. Successfully exceeding $112,581 and exceeding $116,891 will resume the path to $124,000. The market could only gain momentum at the next stage of growth, targeting $148,000, causing the real alto season.
“Without this recovery, the BTC will stagnate, leaving only a shallowly scattered alt spin afterwards,” Anderson shared with X.
The recent Bitcoin Double Trap shows that the crypto market continues to be a battlefield of strategy and psychology. Smart money manipulates fluidity and emotions to shape expectations. Risk management must be the forefront and center for investors in environments vulnerable to such tactical deceptions.
During the writing, Bitcoin is trading at $112,540, a 0.4% drop.
