Bitcoin price analysis: BTC continues sideways below $39,500, drop incoming?

TL;DR Breakdown

• Bitcoin price analysis is bearish today.
• BTC/USD continued to consolidate below $39,500.
• Further upside rejected again over the past hours.

Bitcoin price analysis is bearish today as we expect the current consolidation to end with a push lower after a higher high was set early yesterday. Likely BTC/USD will move to finally set higher low next week and confirm the reversal signal of higher high set earlier.

The market has traded in the red over the last 24 hours. Bitcoin has lost 0.73 percent, while Ethereum 0.98 percent. Meanwhile, Avalanche (AVAX) is the worst performer, with a loss of almost 6 percent.

Bitcoin price movement in the last 24 hours: Bitcoin slowly pivots lower

BTC/USD traded in a range of $38,293.50 – $39,778.94, indicating mild volatility over the last 24 hours. Trading volume has declined by 3.73 percent, totaling $18.5 billion, while the total market cap trades around $740.75 billion, resulting in a dominance of 41.79 percent.

BTC/USD 4-hour chart: BTC look for another drop

On the 4-hour chart, we can see the Bitcoin price action rejecting further upside again, likely leading to a retracement early next week.

Bitcoin price action has seen more downside tested over the past week. After setting a slightly lower low at $39,000 on the 23rd of February, BTC/USD made the last push lower, quickly leading to $34,500.

From there, buyers quickly regained control, leading to a slightly higher high set around $39,500. After some consolidation, another quick spike higher was seen on Friday, taking the market above $40,000 for a brief time.

Since then, the Bitcoin price action has remained calm, moving sideways below the $39,500 mark. Today another attempt to move higher was quickly rejected, leading to believe that next week will start in the red.

Bitcoin price analysis: Conclusion 

Bitcoin price analysis is bearish today as we have seen resistance at $39,500 reject further attempts to move higher. Therefore, BTC/USD is likely headed for another drop early next week, likely to set a higher low that would confirm a trend reversal.

While waiting for Ethereum to move further, see our articles on how to buy land in Metaverse, How to close a Coinbase account, and how to transfer crypto from Coinbase to Robinhood.