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Bitcoin analysis for October 16, 2017

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The Bitcoin (BTC) has been trading sideways at the price of $5.729. Most recently we got positve news for Bitocin from Austrailia. In recent months, the Australian government has sought to amend its bitcoin regulations – which were previously notoriously unfavorable to businesses and individuals seeking to use and adopt cryptocurrency. The Australian cryptocurrency industries have since shown signs of significant growth, with many industry insiders attributing the improving investor confidence to amendments made to federal legislation pertaining to bitcoin in Australia. Current techical picture looks bullish.

Trading recommendations:

According to the 30M time frame, I found a broken intraday bullish flag, which is sign that buyers are in control. The price is trading above the pivot point ($5.560), which is another sign of strength. I also found a hidden bullish divergence on the Stochastic oscilator. My advice is to watch for potential buying opportunities. The upward targets are set at the price of $5.860 (R1) and $6.140 (R2).

Support/Resistance

$5.560 – Pivot - support

$5.860 – Resistance 1 pivot

$6.140 – Resistance 2 pivot

$6.442 – Resistance 3 pivot

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The material has been provided by InstaForex Company - www.instaforex.com