- Bitcoin price analysis is bearish today.
- BTC/USD continued lower yesterday.
- Support at $42,000 broken overnight.
Bitcoin price analysis is bearish today as we expect more downside to follow after a strong decline over the last 24 hours. Likely BTC/USD will look to test previous major resistance at $39,500 over the weekend in an attempt to set another higher low.
The market has continued in the red over the last day. The leader, Bitcoin, lost 4.54 percent, while Ethereum posted a more substantial loss of 5/72 percent. Most of the top altcoins have followed with similar losses.
Bitcoin price movement in the last 24 hours: Bitcoin breaks $42,000, continues lower
BTC/USD traded in a range of $40,839.41 – $42,689.91, indicating substantial volatility over the last 24 hours. Trading volume has increased by 20.32 percent, totaling $30 billion, while the total market cap trades around $776 billion, resulting in a dominance of 42.76 percent.
BTC/USD 4-hour chart: BTC/USD on its way to $40,000
On the 4-hour chart, we can see a steady decline for the Bitcoin price, likely leading towards the previous resistance area around $39,500-$40,000 to be tested next.
Bitcoin price action has seen a strong gain this week. After an initial move above $39,500 previous resistance, BTC/USD quickly set a strong higher low on the 28th of February.
From there, bulls quickly pushed the market to new highs, resulting in an increase of 20 percent in a couple of days. Eventually, more upside was strongly rejected around the $45,600 mark on Wednesday, leading to a slow reversal.
Selling pressure increased yesterday, leading the Bitcoin price action below $42,000 support by the end of the day. Overnight, more downside was tested, with BTC/USD moving past the $41,000 mark later today.
Overall, the current retracement should follow over the next 24 hours. If support can be found around $39,500-$40,000 previous support, we should see another strong higher low set before more upside returns next week.
Bitcoin price analysis: Conclusion
Bitcoin price analysis is bearish today as we have seen a steady decline continue over the last 24 hours. Therefore, we expect BTC/USD to retrace even further and move towards the $40,000 to set another higher low over the weekend.