Crypto analyst Justin Bennett is predicting a breakout in prices for altcoins after a long and quiet period of consolidation.

Bennett tells his 109,900 Twitter followers that the overall market cap for altcoins has been coiling in a long wedge pattern, hinting at a massive imminent move.

“This quiet period for crypto is about to end. The longer a market coils, the more explosive the breakout. Get ready.”

Source: Justin Bennett/Twitter

Bennett backs up his bullish position by suggesting that the US Dollar Index (DXY) is on the verge of breaking out. The DXY pins the US dollar against a basket of other fiat currencies, and a falling DXY traditionally suggests upside for risk assets like crypto.

According to Bennett, DXY could be in the process of being rejected at the top of a large ascending channel.

“DXY linear chart. Not the best time to be bearish on stocks and crypto, in my opinion.”

ImageSource: Justin Bennett/Twitter

Benett says Ethereum (ETH), the world’s second-largest cryptocurrency, is also making a break against its resistance around the $1,300 level in a descending channel.

“ETH support is still holding. Now testing channel resistance.”

ImageSource: Justin Bennett/Twitter

Looking at the S&P 500 (SPX), which has been correlated with crypto markets for the last several years, Bennett says that if the $3,575 level holds, a rally could ignite and potentially boost crypto as well.

The analyst is looking at the upcoming consumer price index (CPI) reading for a potential catalyst for the market’s next move.

“Not difficult to imagine a relief rally from here, but a lot is riding on Thursday’s CPI.

3,575 is the level to hold.”

ImageSource: Justin Benett/Twitter

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