A leading crypto analyst says that altcoins such as Solana (SOL) are on the rise while updating his forecast on leading cryptos Bitcoin (BTC) and Ethereum (ETH).
With a new tweet, top analyst Justin Bennett tells his 98,500 followers that altcoins are heating up based on a chart depicting BTC’s inverted market dominance.
“AltSeason2022 is heating up.
[BTC Market Cap Dominance] inverted looks bullish af.”
As the above chart suggests, a rise in BTC’s inverted market dominance is actually a rise in altcoin market dominance. Bennett predicts such a rise is imminent.
In the latest edition of his Cryptocademy newsletter, Bennett says smart contract altcoin Solana is gearing up for a BTC-dependent breakout.
“SOL is starting to break out today…
However, I still need to see the market close the day above the $85 area to confirm it. Until then, this is a bit speculative.
If SOL can break free from this trend line, I think a move up to $118 could be next. Any close above that and we’re probably looking at $150.
Of course, it all depends on what other markets like DXY [US dollar index], TOTAL [total crypto market cap], and BTC decide to do over the coming days.”
Bennett turns his attention to leading smart contract platform Ethereum, which has been on the downswing in November 2021.
“ETH is testing the November trend line today on the back of a 6% rally. At the moment, that level comes in just below $2,800.
A daily close above that area should confirm the breakout and expose $3,000. That will be the next test for buyers.
Above $3,000 and I think we see Ethereum sprint toward $3,600.
Alternatively, a close below resistance would keep the triangle intact with support just above $2,500.”
While Bennett sees altcoins ETH and SOL as on the verges of breakouts, he thinks Bitcoin might be falling behind.
“Bitcoin is lagging ETH in terms of structure. While ETH is on the brink of breaking out today, BTC is still well below the $46,000 region… I’m a fan of longing ETH over BTC right now.
However, an eventual close above $46,000 would be incredibly bullish if Bitcoin can pull it off as it would expose $53,000-$55,000.
The $37,000 area remains key support.”
Finally, in further support of his altseason prediction, Bennett assesses the total crypto market cap (TOTAL), foreseeing signs of a breakout.
“The total crypto market cap chart looks ready to break out this week. Ideally, I’d like to see this break higher for a retest of at least the $2T area.
However, we don’t have a confirmed breakout just yet.
Alternatively, a rotation lower is likely to find support around $1.65T.
A breakout from the chart below will add conviction to any moves we see from cryptos.”
Featured Image: Shutterstock/Tatiana Gavrish