Technical Analysis of BTC/USD for November 11, 2020

Crypto Industry Outlook:

The New Jersey Senate is about to consider a new bill that proposes a new mandatory licensing framework for all cryptocurrency companies operating in the state.

Unveiled on November 5, a new Senate bill, known as the "Digital Assets and Blockchain Technology Act," was sponsored by Senator Nellie Pou from New Jersey's 35th Legislative District, New Jersey. S3132 is now awaiting referral to the Senate Trade Committee.

Under the draft, all digital asset companies must already be licensed or at least have already applied for a license to legally do business with or on behalf of a state resident.

Alternatively, the business of digital assets may be considered legal in New Jersey if the business participants are already licensees in another state with which New Jersey has a reciprocity agreement.

The New Jersey Crypto License will authorize activities involving the issuance of digital assets, offering digital asset exchange services, borrowing digital assets, and storing or maintaining digital assets on behalf of others. The latter licensing requirement excludes entities that are already registered depositories in the United States, such as banks, trusts, and brokers. Any person or entity that conducts business without a license or license application would be fined $ 500 per day.

Technical Market Outlook:

The BTC/USD pair keeps hovering in a narrow range between the levels of $14,781 - $15,783, consolidating the recent gains in extremely overbought market conditions. There is a potential Bullish Flag price pattern in progress on the H4 time frame chart. The intraday technical support is currently seen at the level of $15,215 and the intraday technical resistance is located at $15,526. The up trend is still being continued, so the next target for bulls is seen at the level of $16,000.

Weekly Pivot Points:

WR3 - $19,307

WR2 - $17,576

WR1 - $16,627

Weekly Pivot - $14,868

WS1 - $13,889

WS2 - $12,207

WS3 - $11,247

Trading Recommendations:

Bitcoin is trading at the yearly highs and bulls are in control of the market. The up trend continues and the next long term target for Bitcoin is seen at the level of $16,000, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $10,000 is broken.

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