Bitcoin price analysis: BTC retraces to $39,000, further downside incoming?

TL;DR Breakdown

• Bitcoin price analysis is bearish today.
• BTC/USD tested $37,000 late yesterday.
• Another lower high is currently set.

Bitcoin price analysis is bearish today as we expect more downside to follow after another lower low and lower high have been set over the last 24 hours. Therefore, BTC/USD is likely headed for another spike lower, with the next target located at $36,000.

The market has seen more selling over the last 24 hours. The leader, Bitcoin, declined by 1.2 percent, while Ethereum a more substantial 2.12 percent. The rest of the top altcoins followed close by with some exceptions.

Bitcoin price movement in the last 24 hours: Bitcoin retraces to $39,000, looks to set another lower high

BTC/USD traded in a range of $37,260.20 – $39,430.23, indicating substantial volatility over the last 24 hours. Trading volume has increased by 22.64 percent, totaling $31.2 billion, while the total market cap trades around $734.6 billion, resulting in a dominance of 42.36 percent.

BTC/USD 4-hour chart: BTC prepares for another drop?

On the 4-hour chart, we can see the Bitcoin price setting another lower high, indicating that bears are still in control and more downside should follow.

Bitcoin price has seen strong retracement from the previous major swing high at $45,600 over the past days. The initial drop of over 15 percent took BTC/USD to the $39,000 mark, with further downside tested over the weekend.

Bearish momentum has slowed down since, despite bears testing further downside yesterday. However, the $39,500 resistance area still holds, swiftly reversing any attempts to move higher.

Late yesterday, another spike briefly reached even further lows, indicating that bears are still in control. Over the last hours, we saw the Bitcoin price set another lower high around $39,000, indicating that more downside should follow over the next 24 hours.

Bitcoin price analysis: Conclusion 

Bitcoin price analysis is bearish today as we have seen further downside followed by retracement that has set another lower local high. Therefore, we expect BTC/USD to continue even lower and look to reach the $36,000 next major support.

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.