Bitcoin price analysis is bearish for today as the $48,000 resistance prevented further upside once more. Therefore, we assume BTC/USD will retrace back towards the previous low and set a base to move higher from there.
The cryptocurrency market traded in the green over the last 24 hours. Bitcoin is up by 0.45 percent, while Ethereum by 2.04 percent. Solana (SOL) is among the best performers, with a gain of 38 percent.
Bitcoin price movement in the last 24 hours: Bitcoin fails to breach $48,000 again
BTC/USD traded in a range of $45,704.89 – $47,998.10, indicating mild volatility over the last 24 hours. Trading volume has increased by 13.66 percent and totals $33.3 billion, while the total market capitalization stands around $870.6 billion, resulting in market dominance of 43.54 percent.
BTC/USD 4-hour chart: BTC set to retest the previous low
On the 4-hour chart, we can see the Bitcoin price action retracing over the last hours to retest the previous low.
Bitcoin price action has seen a strong rally over the past weeks. After retracement to the $38,000 mark at the beginning of August, BTC/USD established a base from which to move higher.
On the 6th of August, the previous high was broken, and the market moved to the $48,000 mark, meaning a gain of around 25 percent. Additionally, the previous major swing high resistance around $41,000-$42,000 was broken, indicating that the overall market structure has turned bullish once again.
However, the Bitcoin price action has slowed down dramatically over the past week, with only slightly higher highs set each time. This could result in another strong retracement latest this month, with the $42,000 previous significant resistance likely retested as support.
Currently, we can see that BTC/USD continues to respect the true $48,000 resistance as rejection for further upside was seen overnight. Bitcoin has since retraced to the previous low of around $45,500, which will likely lead to a breakdown in the current upwards momentum if broken.
Bitcoin Price Analysis: Conclusion
Bitcoin price analysis is bearish for the next 24 hours as another failure to move past the $48,000 mark was seen overnight. BTC/USD retraced today, indicating that the previous low of around $45,500 will be retested today.