In the latest issue of his Cryptocademy newsletter, Justin Bennett first tells traders that the traditional stock index the S&P 500 (SPX500) will soon face a major test.
“SPX is approaching a huge test at 3,910. That’s been the pivot for the index for months, and a resistance level that won’t fall easily.”
Moving onto crypto, Bennett says BTC is moving sideways with no clear indication of its next move.
“BTC is sideways today as we head into Christmas weekend. I’m still eyeing a potential retest of $16,500 for a bounce. But so far, it’s unclear whether Bitcoin will test that area or simply break above $16,900.”
Bitcoin is trading for $16,663 at time of writing.
The trader also says that ETH is in the same boat as BTC.
“ETH, like BTC, is sideways as we head into the holiday weekend. Ethereum is still trading just below the $1,220 resistance level, so a pullback is still a possibility. If ETH does pull back, I’ll be eyeing the $1,180 area, which is a confluence of support. Alternatively, a 4-hour and daily close above $1,220 would open the door to the $1,300 region.”
Currently, ETH is going for $1,190.
Finally, Bennett breaks down ETH layer-2 scaling solution Polygon (MATIC). He indicates MATIC’s trendline on the chart with a blue line.
“MATIC has broken down from the trend line mentioned a few days ago. It also retested that level as new resistance yesterday and again today. As long as it remains below this trend line on a daily closing basis, MATIC looks vulnerable toward $0.70 and potentially lower.”
MATIC is trading for $0.776 at time of writing.Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
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