Bitcoin analysis for November 06, 2017

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The Bitcoin (BTC) has been trading sideways at the price of $7,343. After shutting down the country's bitcoin exchanges, the Chinese government is monitoring the booming cryptocurrency over-the-counter (OTC) market. A recent government report shows that 680 million yuan, approximately $103 million, were traded in the last two weeks of October on the top three international OTC trading platforms. Technical picture looks netural to bearish.

Trading recommendations:

According to the 1H time frame, I found the resistance cluster at the price of $7,462 on the test. There is a broken upward trendline in the bakcgorund, which is a sign of weakness. I also found a hidden bearish divergence on the RSI oscillator in the background, which is another sign of weakness. My advice is to watch for potential selling oppportunities. The downward targets are set at the price of $7,204 (pivot level) and $7,071 (siwng low).

Support/Resistance

$7.462 – Resistance cluster

$7.204 – Pivot level

$6.945 – Pivot support 1

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