A popular cryptanalyst shares what he thinks for the development of Bitcoin (BTC) expected next month.
Crypto trade Justin Bennett tells his 109,600 Twitter followers what to expect from the crypto king should BTC continue to trade above $18,700.
“As long as $18,700 lasts, this is my Bitcoin playbook through October.”
With BTC trading at $19,567 at the time of writing, Bennett expects the largest cryptocurrency after market capitalization will remain in a bullish divergence until at least Halloween.
Bennett also looks at the US dollarindex (DXY), a measure of the US Dollar’s strength against a basket of assets, in this case digital assets.
In general, a bearish DXY is bullish for crypto and vice versa.
Bennett says that the DXY just confirmed a bearish divergence, which may be good news for crypto.
“The DXY not only confirmed a bearish deviation from a 10-month level today, but also closed back inside this channel from August.
Bullish for stocks and crypto.”
Bennett also takes the time to assess the total crypto market capitalization (TOTAL) and measures the strength of the overall crypto market. The trader calls this chart the one to watch for cryptos right now.
“TOTAL is still the crypto chart to watch in my opinion.
913 to 920 billion US dollars are still considered Resistance. A daily close above this area is needed to secure an October rally.
Expect to chop until this area breaks.
Featured image: Shutterstock/Zaleman/PurpleRender
Source: Crypto News Deutsch