Bitcoin price analysis is bearish today.BTC/USD briefly moved above $43,000 yesterday.Strong selloff seen since midnight.
Bitcoin price analysis is bearish today as we have seen a test of upside quickly turn into a massive selloff. BTC/USD has already lost almost 7 percent, with more downside likely to follow soon.
Cryptocurrency heat map. Source: Coin360
The market has turned red over the last 24 hours as strong selling pressure was seen overnight. The leader, Bitcoin, quickly lost 4.95 percent, while Ethereum 8,11 percent. Most of the top altcoins performed even worse.
Bitcoin price movement in the last 24 hours: Bitcoin breaks past $42,000 previous low, looks to drop even further
BTC/USD traded in a range of $40,650.21 – $43,376.38, indicating strong volatility over the last 24 hours. Trading volume has spiked by 110.6 percent, totaling $28.56 billion, while the total market cap trades at $775.25 billion, resulting in market dominance of 41.51 percent.
BTC/USD 4-hour chart: BTC targets $40,000 next?
On the 4-hour chart, we can see selling pressure still strong for the Bitcoin price action, indicating that the $40,000 support will be reached soon.
BTC/USD 4-hour chart. Source: TradingView
Bitcoin price action has continued to retrace since the start of April. After several attempts to break higher at the beginning of the month, BTC/USD quickly dropped to $43,000 on the 7th of April.
More downside followed to $42,000 on the 8th of April. From there, some of the loss was briefly regained as BTC rallied back above $43,000. However, bears quickly regained control, leading to more downside tests overnight.
By midday, the Bitcoin price has already moved past $41,000 next support, meaning that the selling pressure is still strong. The next support at $40,000 should be reached by the end of the day, meaning a very deep retracement from the massive rally that was seen in March.
Bitcoin price analysis: Conclusion
Bitcoin price analysis is bearish today as we have seen a strong decline since late yesterday. The $41,000 support got broken without much support, likely meaning that BTC/USD is headed to $40,000 next.