Bitcoin (BTC) kept traders on their toes on Tuesday as a sudden price dip sparked a retest of $50,000.

BTC/USD 1-hour candle nautical chart (Bitstamp). Source: TradingView

BTC yet "fine" at $49,000

Information from Cointelegraph Markets Pro and TradingView followed BTC/USD as it shed $2,000 in two hours Tuesday.

The pair had hitting $52,960 — virtually a iv-month high — before consolidating and then heading lower.

The volatile atmospheric condition mark a memorable 24-hour interval for Bitcoin adoption, coming as El Salvador becomes the first country in history to adopt a partial "Bitcoin standard."

For traders, the BTC price reversal, which at the time of writing had cooled at $50,500, was likely just a technical event.

"Shaking out some late longs I'd expect," popular social media trader Crypto Chase commented.

"Still confident we see 54.7K~ hitting every bit long as 50K can hold as support (adequately obvious 12HR level to piece of work with hither)."

As Cointelegraph reported, funding rates this week signaled bullish bias, with expectations of assisting shorts providing a potential opportunity for a squeeze up.

Cointelegraph contributor Michaël van de Poppe agreed, highlighting fifty-fifty $49,000 as a reasonable target, which would still give no cause for concern.

"Exam happening!" he after tweeted.

Major altcoins erase days of gains

Altcoins felt the pain of Bitcoin'due south retest more acutely.

Related: These 3 altcoins mooned every bit Bitcoin price rallied to $52,000

Ether (ETH), the largest altcoin by market capitalization, was downwards five.9% on the day at $3,715, while Cardano (ADA) shed 11.ii%.

Solana (SOL) was the twenty-four hour period's only winner yet again out of the meridian ten cryptocurrencies, impressively gaining near 25% in 24 hours.