A widely followed crypto analyst is warning traders that Bitcoin (BTC) and other assets like stocks may have reached a peak for now.
Financial analyst Justin Bennett tells his 112,400 Twitter that he is convinced that stocks are near their top.
“The more charts I look at, the more convinced I am that the top is in (or very close) for stocks.
Combine the charts with solid US numbers (gross domestic product, jobs, consumer confidence, etc.) and a bullish-looking 10-year yield, and I’m betting the Fed hikes more than markets expect and keeps rates higher for longer.
This statement could backfire wildly, and if I’m wrong, I’ll own it.
But stocks have had an incredible run these last few months (and years).
Don’t get left holding the bag when the music stops.”
Looking at king crypto BTC, Bennett appears to indicate on his charts that he expects Bitcoin to drop to the $28,000 price region before moving back up.
“Do it BTC.”
BTC is worth $30,485 at time of writing, up 0.1% in the last seven days.
Finally, Bennett breaks down the US Dollar Index (DXY), a measure of the US dollar’s strength against a basket of major currencies. Traders use the DXY to gauge the dollar’s strength, which is typically inversely proportional to the strength of assets like crypto.
Looking at the DXY, Bennett says the metric is facing a “massive test” at its next level up.
“Massive test for the DXY here at 103.30/50.
Level to level trading.”
Last week, Bennett said now is “not the time” to get bearish on the DXY.
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