USDX Breaching the Next Support Level Will Lead to a BTC Rally
Crypto trader and analyst Jason Pizzino recently shared his technical analysis of Bitcoin (BTC) on his YouTube channel. According to Pizzino, altcoins are currently experiencing a short-term bearish period, which is necessary before the market can enter the next bull run. He noted that the crypto fear and greed index attempted to break a resistance level at around 80, but retraced slightly. Pizzino predicts that another pullback will occur to stabilize market sentiment, which is currently in extreme greed territory.
Pizzino also analyzed the U.S. Dollar Index (USDX), which is currently resting on a key support level at 100.2. He believes that a weakening dollar is beneficial for the entire crypto market, and a break below this support level will result in BTC’s price climbing in the medium-to-long term, with altcoins following suit.
At the time of writing, BTC was trading at $27,580.49, with a 0.57% loss over the previous 24 hours. Meanwhile, USDX saw a small 0.25% gain during the same period. Technical indicators on USDX’s daily chart suggest that the index is in a medium-term bearish cycle, while the daily RSI recently triggered a short-term bullish flag. Pizzino predicts that BTC’s price will continue to fall in the next 24-48 hours, while USDX breaching the support level will have an inverse effect, causing BTC to climb to $28,700 in the following days.