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A widely followed crypto trader is charting out Bitcoin (BTC) and Ethereum (ETH) after BTC’s failed bid to reclaim $23,450.
In the latest edition of his Cryptocademy newsletter, analyst Justin Bennett says BTC is teetering between support levels.
“Bitcoin tried to reclaim $23,450 but failed. BTC also closed the day below $23,000, which could be problematic for the relief rally as that level is likely to serve as resistance now.
The next key support for BTC is $22,400, followed by the $21,600 level.
BTC will have to reclaim $23,000 and $23,450 on a daily closing basis to turn constructive again.”
BTC is trading for $23,114 at time of writing.
Ethereum’s current value of $1,650 isn’t surprising to Bennett, who says ETH is weak below the $1,700 mark.
“ETH is still very sideways and looking relatively weak while below $1,700. That close below the level over the weekend is still serving as a fakeout.
For now, the $1,520 area is likely to serve as critical support for ETH should we see markets pull back this week. A close below that would open up $1,420 again.
Ethereum will have to close a day back above $1,700 to turn constructive again. Until then, the market will remain under pressure.”
Analyzing the total crypto market cap (TOTAL), a market strength indicator, Bennett suggests crypto’s market cap could be rallying toward the $1.15 trillion level.
“TOTAL is just barely holding onto the $1.035 trillion support level. The market tried to reclaim $1.05 trillion today but failed in the end.
If $1.035 trillion fails this week and we get a daily close below that, a move toward $985 billion seems likely, if not a full retracement to $960 billion.
Alternatively, a rally from $1.035 trillion and a reclaim above $1.05 trillion would be bullish for the crypto market and open the door to $1.15 trillion.”
According to CoinMarketCap, TOTAL currently resides at $1.07 trillion.