- Bitcoin price analysis is bearish today.
- BTC/USD saw a strong spike to $48,000 overnight.
- A slow retest of the previous high is currently in progress.
Bitcoin price analysis is bearish today as we have seen the bulls push the market above the previous high of $45,000, past the $46,000 resistance until it met rejection just below $48,000. Therefore, BTC/USD likely will reverse after the second retest of the $48,000 mark and look to retrace some of the gains.
The market has continued higher over the last 24 hours. The leaders, Bitcoin and Ethereum, gained almost 6 percent with quick spikes higher overnight. The rest of the top altcoins moved to even higher gains meanwhile.
Bitcoin price movement in the last 24 hours: Bitcoin spikes to $48,000, runs out of momentum
BTC/USD traded in the $44,768.36 – $47,710.15 range, indicating substantial volatility over the last 24 hours. Trading volume has increased by 11.84 percent, totaling $41.67 billion, while the total market cap trades around $901.59 billion, resulting in a marked dominance of 42.09 percent.
BTC/USD 4-hour chart: BTC looks to retrace next?
On the 4-hour chart, we can see a second attempt met with another rejection, indicating that the Bitcoin price action is likely headed for a reversal.
Bitcoin price consolidated over the weekend after moving to the $45,000 resistance on Friday. We saw a clear rejection at this level which led to a consolidation that persisted until late yesterday.
Close to midnight, BTC/USD saw a rapid spike, breaking past the $46,000 resistance with ease. The rapid advance continued as high as the $48,000 mark before it slowed, indicating that the bulls may have finally lost their momentum.
Therefore, retracement should soon follow, considering the market structure formed over the past week. Likely, the Bitcoin price will look to retest previous resistance levels as support before we see more upside.
Additionally, more substantial retracement should follow if the $45,000 support fails to hold. However, as long as the support holds, we expect more upside by the end of the week.
Bitcoin price analysis: Conclusion
Bitcoin price analysis is bearish today as the bulls show signs of exhaustion around the $48,000 major resistance. Therefore, we expect BTC/USD to retrace soon, potentially retesting $45,000 – $46,000 previous resistance as support.