Bitcoin price analysis is bullish today.BTC/USD spiked to $42,000 yesterday.Consolidation is seen over the last hours.
Bitcoin price analysis is bullish today as we expect the $42,000 resistance to be broken after the current consolidation resolves. Likely bullish momentum is strong enough to finally set a strong higher high and reverse the several-week retracement.
Cryptocurrency heat map. Source: Coin360
The crypto market overall has continued higher over the last 24 hours. Leaders, Bitcoin and Ethereum, are up by 2.5 and 2.74 percent, while the rest of the top altcoins moved even higher.
Bitcoin price movement in the last 24 hours: Bitcoin sets local higher low, spikes to $42,000
BTC/USD traded in a range of $40,887.31 – $42,195.74, indicating substantial volatility over the last 24 hours. Trading volume has declined by 21.88 percent, totaling $24.2 billion, while the total market cap trades around $797.26 billion, resulting in a dominance of 41.92 percent.
BTC/USD 4-hour chart: BTC ready to break $42,000?
On the 4-hour chart, we can see the Bitcoin price preparing for another spike higher as not much downside reaction followed earlier.
BTC/USD 4-hour chart. Source: TradingView
Bitcoin price action has seen bullish momentum return over the last days. After forming a consolidation between $38,000 support and $39,500 resistance, BTC/USD established a strong base from which to rally early in the week.
More upside indeed did follow on Tuesday as an initial spike to $42,000 was seen. At first, BTC got heavily rejected, leading to a retest of the $39,500 mark as support before more upside was achieved.
Early on Thursday, BTC/USD peaked around $41,500, resulting in a slow retracement over the next day. From there, bulls quickly regained control yesterday as another spike higher was seen.
This time, the Bitcoin price action reached $42,000 next major resistance and previous major swing high. Currently, the resistance is yet to be broken as consolidation has formed beneath. However, we should soon see further attempts to reach higher, given the overall momentum.
Bitcoin price analysis: Conclusion
Bitcoin price analysis is bullish today as we have seen more upside momentum over the last 24 hours lead to the $42,000 mark. Since clear reaction lower did not follow, we assume BTC/USD will look to test even further upside later today.