You want your intent to be as direct as possible. You are leaving, plain and simple. There's no need to mention where you're going. You can discuss that with your boss (though you're not obligated to do so) and your colleagues if you want, but there's little purpose for including that in your resignation letter. That's especially true if you're moving over to a competitor__you don't want to create ill will in this letter or cause any drama.
After that, you're ready to close out your letter and move on. The basic closings are fine here__again, you don't need to go overly sentimental or formal, but you should also write as if it will be read by anyone at the company. And with that signing flourish, you're done! You've resigned, and you're ready for your exciting new job.