Crypto analyst Justin Bennett is looking at how Bitcoin (BTC), Ethereum (ETH), and three other altcoins will move after BTC tumbles from its all-time high.
As Bitcoin threatens to plunge below $60,000, the founder of Cryptocademy says he sees a “ton of confluence” for the largest crypto asset by market cap around $55,000.
“There’s a ton of confluence around $55,000. However, don’t forget that the September high near $53,000 could also play a role… Key resistance above $60,000 comes in at $63,600 and $67,000.”
The crypto trader says that Ethereum should not fall below the critical support level at $3,900, which the coin is currently testing.
“If we get the latter [below $3,900], I’ll be keeping an eye on the $3,700 area…
As I’ve maintained for a while now, ETH/USDT needs to clear $4,370 on a daily closing basis to secure the breakout and enter price discovery.”
Dogecoin (DOGE) just moved above the new support near $0.23, but the analyst says it may not be the best time to buy the altcoin because it is testing lower levels.
“Today’s session would need to close inside of Tuesday’s range for it to be considered a bullish signal. Tuesday’s low was $0.2520, so that’s the level to close above.
If DOGE can do that, we could see this market move back to $0.27 resistance. And if it doesn’t, then it likely slides lower toward $0.23 support.”
After VeChain (VET) quickly dropped by 21% in recent days, Bennett says the coin’s movement will depend on BTC. He says VeChain’s resistance level will be back to $0.155 if Bitcoin has already hit its bottom price.
“However, a deeper correction toward $53,000 BTC could put VET in the $0.10 to $0.11 range, especially as we’ve seen VET/BTC reach resistance and sell-off today.
Of course, if the bottom for Bitcoin is already in, then VET should hold its current level and move back to $0.155 resistance.”
Bennett is also expecting Verasity (VRA) to pull back amid a rally following its $0.05 breakout.
“If VRA/USDT does pull back to the $0.055 – $0.065 support area, it could present a favorable buying opportunity. Key resistance is $0.085.”
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Voger Design/Andy Chipus/Sensvector/pikepicture/MrArtHit