December, according to crypto analyst Justin Bennett, Ethereum (ETH) and Dogecoin (DOGE) it can potentially bring rallies where it will be at the forefront.
Analyst to Twitter followers; He says that the dollar index (DXY), which compares the USD to a basket of other fiat currencies, gives a bullish signal for the crypto markets.
A weaker DXY usually indicates higher prices for most assets. Bennett states that DXY is likely to have made a new failed debut and may be facing a downward momentum at the moment.
“DXY looks good for a crypto rally in December. Friday’s closing inside this channel shows weakness. Now for a close below 95.80… Let’s wait and see.”
Bennett also looks at the total market cap chart (TOTAL) of the crypto market. According to the analyst, TOTAL is approaching the end of a large descending wedge pattern. It also draws attention to a discrepancy/divergence between the rising relative strength index (RSI) and the downward price action. A rising RSI during a downtrend is often interpreted as a hint for a bullish reversal.
“TOTAL’s gA falling wedge formation and positive divergence are occurring on intra-famous charts.
Something to consider.”
The analyst, who also examines Ethereum, believes that the world’s second largest cryptocurrency, traded at $ 4,391 at the time of writing, will perform well in the next month. Bennett said that ETH is “prepared to perform well in December” and may already be striving for an exit if it sees more volume.
“ETH is approaching a breakout level.
Just add volume.”
Bennett also claims that one of the most important cryptos to participate in these big rallies is the top meme coin Dogecoin (DOGE). Analyst DOGE, initial key resistance at $0.25 and final resistance above all-time high; It says it is in the middle of a breakout near $0.75.
“DOGE is about to explode.”
Dogecoin is trading at $0.21, up about 4 percent at the time of writing, according to data from CoinGecko.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.