- Bitcoin price analysis is bullish today.
- BTC/USD found support at $41,000 yesterday.
- Slight reaction higher seen today.
Bitcoin price analysis is bullish today as the market likely prepares further after reaction from the $41,000 support. Potentially we will see BTC/USD retest previous support around $44,000 as resistance next.
The cryptocurrency market has seen mixed results over the last 24 hours. The market leaders, Bitcoin and Ethereum, have remained almost flat, with a gain of 0.08 and a loss of 0.36 percent, respectively. Meanwhile, Solana (SOL) is the top performer from the major altcoins, with a gain of almost 4 percent.
Bitcoin price movement in the last 24 hours: Bitcoin drops to $41,000 begins consolidating
BTC/USD traded in a range of $41,077.45 – $42,181.24, indicating mild volatility over the last 24 hours. Trading volume has declined by 29.57 percent, totaling $47.47 billion. Meanwhile, the total market cap trades around $793.15 billion, resulting in a market dominance of 39.94 percent.
BTC/USD 4-hour chart: BTC looking to retrace?
On the 4-hour chart, we can see a slight upsurge this morning, likely as Bitcoin price action is ready to retrace further.
Bitcoin price has seen more downside this week. After losing around 12 percent at the end of December, BTC/USD consolidated above $46,000 major support for several days.
However, despite the support holding, further local lower lows were set as the market consolidated in an increasingly tighter range. On the 5th of January, bulls gave up, leading to a quick drop of around 9 percent.
More downside followed early yesterday, leading to the next support at $41,000. From there, a reaction higher was seen, indicating that sellers are likely exhausted. Since then, the Bitcoin price has consolidated around $42,000.
The current consolidation likely will resolve to further move higher. Since bears are exhausted after such a massive selloff over a couple of days, the market needs to retrace. A potential target to look for is the $44,000 mark, with a much stronger one at the $46,000 previous major resistance.
Bitcoin Price Analysis: Conclusion
Bitcoin price analysis is bullish today as bears are likely exhausted after another slight drop yesterday led to $41,000 support. Target to the upside for BTC/USD is located at $44.000 and would offer a decent retracement.