SINGAPORE: Bitcoin may break a support at $10,831 and fall to the next support at $10,487, as suggested by a rising channel and a projection analysis.
After failing to rise above the channel, bitcoin fell towards the lower trendline around $10,650. A break below the support at $10,831 will be confirmed when bitcoin drops to $10,650.
The break could confirm a target at $10,487, the 14.6 percent projection level of an upward wave c, which is the third wave of a three-wave cycle from the Jan. 17 low of $9,222.
A rise above resistance at $11,200 provided by a falling trendline could be extended to $11,391.
Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own.
No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.
