Levels to watch ahead of massive CME options expiration – Confluence Detector

Fibo Quantum

  • Tension mounts ahead of a massive expiration of options on the CME exchange.
  • Cryptocurrencies are trading in tight ranges but volatility is set to explode.
  • Here are the next levels to watch according to the Confluence Detector.

No less than 50% of open interest Bitcoin options on the Chicago Mercantile Exchange (CME )are set to expire on Friday, August 30th. Expiry of options tends to trigger high volatility – and we may be seeing the calm before the storm.

Low volatility now may make way for extreme moves. Apart from the options’ expiry on Friday, the long weekend in the US may result in low liquidity – and even more substantial movements in prices of digital coins.

This is what the Crypto Confluence Detector shows in its latest update:

BTC/USD locked in a range (for now)

Bitcoin is holding its ground above $10,000 and enjoys support at $10,066, which is the convergence of hte Simple Moving Average 100-one-day, the previous daily low, and the Fibonacci 23.6% one-month.

Further support awaits at $9,800, where the previous weekly low and the Pivot Point one-week Support 1 converge.

BTC/USD faces resistance at $10,220, where a dense cluster of levels awaits it. This includes the SMA 1001h, the SMA 10-4h, the BB 15min-Upper, the BB 4h-Middle, the BB 1h-Upper, the SMA 200-15m, the SMA 50-1h, and the Fibonacci 61.8% one-week.

Further up, $10,382 is the confluence of the SMA 10-1d, the PP 1d-R1, and the previous daily high.

The next target is $10,700, which is the meeting point of the Fibonacci 38.2% one-month, the BB 1d-Middle, and the Fibonacci 23.6% one-week.

ETH/USD faces double resistance

Ethereum has an uphill battle against $187.50, where a minefield of lines awaits it, including the SMA 10-4h, the SMA 5-4h, the BB 15min-Upper, the SMA 200-15m, the SMA 50-1h, the previous 4h-high, and the Fibonacci 61.8% one-day.

Close by, $190 is even more meaningful. It is a juncture including the previous daily high, the Fibonacci 61.8% one-week, the PP 1d-R1, and the SMA 5-1d. 

ETH/USD has support at $184, where the previous 4h-low, the BB 4h-Lower, the previous daily low, and the PP 1d-S1.

The next cushion is much lower. Vitalik Buterin’s brainchild has noteworthy support only at $166, where the PP 1m-S1 meets the price.

XRP/USD eyes $0.2846

Ripple faces its first cap at $0.2720, where the Fibonacci 61.8% one-week and the SMA 5-1d converge.

Next up, XRP/USD may find resistance at $0.2805, where the Fibonacci 38.2% one-week and the BB 1d-Middle mett.

The most significant cap is at $0.2846, which is the confluence of the previous monthly low and the Fibonacci 23.6% one-week.

Support awaits XRP at $0.2624, where we see the convergence of the PP 1d-S2 and the PP 1m-S1.

Further down, the next cushion is at $0.2530, which is the previous year’s low.

See all the cryptocurrency technical levels.