Monday, 10 June 2013

BTC Update Tuesday 11 Jun

The last 24 hours have seen the bullish reaction to major support that we forecast. As can be seen from the 1h chart below, the market is now wrestling with that band of resistance we identified between $104 and $106.

One of two things happen next: either more buyers come in at these prices - or against that rising support line in green - or the market is likely to fall away again to retest support.

In this case watch $95 and $90, as a potential higher lows.

If, on the other hand, the market is successful in breaking away to the up-side, a re-test of $120 is probable.

From an investment perspective, we needed to see the bullish reaction against support that we have, but while Bitcoin remains cheap at current prices, V-reversals are not common, and potential buyers may need to see a further successful rejection of support before they are prepared to commit further funds; watch this space...