For this week I will use my KAMA indicator with deviation levels available on the TradingView platform for free, the weekly price range in case of low volatility could be 2400$-2650$, in case of normal volatility the expected range is 2300$-2760$.
In the attached chart, the XBTUSD composite index is used and it has been derived using the price data of seven bitcoin exchanges. The formula to use is as follows:
(Poloniex: btcusdt + btce: btcusd + bitfinex: btcusd + bitstamp: btcusd + coinbase: btcusd + kraken: xbtusd + ITbit: btcusd) / 7
This formula on tradingview.com generates a composite index of the XBTUSD cross making the average of 7 exchanges and adding all the volumes togheter, the seven exchanges used are:
Doing this is also useful to see the total volume activity that will give you better results if you are using volume based indicators.
This week, volatility dropped significantly and with the imminent closure of the symmetrical triangle, a pattern that, as I said in the previous update, expects a continuation of the underlying trend.
Next update will include VWAP and deviation levels, but you can still consider the deviation levels calculated by the KAMA average as enough reliable.
In case of a catastrophic event the support area is 1180$-1500$.
Follow me also on Twitter where I started tweeting charts about bitcoin and some altcoins too using the TradingView.com platform