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Bitcoin and other cryptocurrencies were stuck from around two weeks of very little movement. The dearth in action ended and with a victory for the bears. The BTC/USD dropped to the downside. What’s next? Bulls have a clear level of resistance to overcome.

The  Technical Confluence Indicator  shows that the digital currency is trading around the pivotal $6,275  level which is the convergence of the Bollinger Band one-hour Lower, the Simple Moving Average 10-15 minutes, and the previous 4-hour low among others.

Emerging from this area will open the door towards the round $6,300  level where we see the confluence of the Simple Moving Average 5-one-hour, the Pivot Point one-week Support 2, and the Bollinger Band 15m-Middle.

The most significant resistance line is around $6,360  which is the meeting point of last week’s low, the Pivot Point one-month S1, the SMA 10-1h, and the Pivot Point one-week S3.

Looking down, further support awaits at $6,248  where the Pivot Point one-month Support 3 awaits the BTC/USD.

“‹”‹”‹”‹”‹”‹Click to see the Full Confluence Indicator

Here is how it looks on the tool:

BTC USD technical confluence October 29 2018

The Confluence Detector finds  exciting opportunities using Technical Confluences.  The TC is a tool to locate and point out those price levels where there is a  congestion of indicators,  moving averages,  Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.

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This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence  adjacents  price levels. These weightings mean that one  price level without any indicator  or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.

Learn more about Technical Confluence