Bitcoin retains price action above $38000 as trading volume jumps

Bitcoin price analysis for May 3, 2022, comes on a sluggish note for the token with chances of losing the $38K price level since the token hasn’t been able to push above the $39K price region. Furthermore, investors can also expect a move towards $37.4K which is major support for BTC. As noted in our Bitcoin price analysis for May 2, 2022, the major area of resistance for the token lies around the $40K region. For now we cannot expect the formation of an uptrend until the $42K price region is not reclaimed in the short term. 

The data from CoinMarketCap shows that the trading volume of the token jumped 19.77% in the last 24 hours, followed by a 0.31% drop in the market cap. Moreover, the Volume / Market Cap has a value of 0.04424, while the Market Dominance has risen to 42.12%. 

The daily candle for the token opened at a price of $38.52K and reached a daily high of $38.6K. On the other hand, the daily low for Bitcoin stands at a price of $38.3K. The price of 1 Bitcoin at the time of writing is $38.51K. 

Bitcoin price analysis for May 3 on the daily chart

Bitcoin price analysis for May 3, 2022, will consider the data from the daily chart below with three major indicators integrated into it.

Source: TradingView

The MACD indicator shows that the MACD line is very close to the signal line which confirms that a bullish divergence might be possible for Bitcoin.

The RSI indicator reads a value below 43 which confirms that the chances of losing $38K are low but considerable in the short term.

The price action for Bitcoin retested the lower zone of the Bollinger Bands and is now once again making its way to retest the middle zone. 

Conclusion

Bitcoin price analysis for May 3, 2022, comes on a slightly bearish note for the token with high chances of retaining $38K.