What will happen on the crypto market in December 2023: top 3 predictions

November was a decidedly bullish month for the crypto market, and December doesn’t seem to be going anywhere.

The editors of BeInCrypto made several December forecasts, the largest of which concern Ethereum (ETH), Bitcoin dominance (BTCD) and Synthetix (SNX).

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Ethereum (ETH) will begin a parabolic rise

Ethereum has increased significantly in price, but still lags behind the growth rate of Bitcoin and many other altcoins.

Last month, ETH price finally broke back from the $2,000 resistance area, confirming it as support. Continued growth suggests the breakout was not the aberration we saw in April (it is marked with a red circle on the graph).

The RSI is rising and above 50. More importantly, it has just entered overbought territory (green icon on the chart). In the previous cycle, movement to this zone (it is marked with a green vertical line on the graph) preceded an increase to a historical high.

The nearest resistance is at $3,000, which is 40% higher than the current price. If the current cycle is similar to the previous one, then ETH will reach it this month.

However, a weekly close below the $2,000 region will invalidate this forecast. If this happens, the price of Ethereum will likely fall by 30% to the immediate support of $1,600.

Bitcoin (BTCD) dominance rally will fizzle out

BTCD has been rising since September 2022. In June 2023, dominance pushed away from the 48% resistance area, where it had been for two years, and increased significantly.

However, BTCD is now approaching a critical resistance area between the 0.5-0.618 Fibonacci resistance levels at 56-60%. This zone will most likely act as a local top.

In addition, the weekly RSI has been in overbought territory for 266 days. For comparison, the previous high was 133 days. This led to the formation of a local top and preceded a significant decline.

If BTCD fails to break above 56-60%, it will likely fall by 12% and return to the 48% region.

However, a close above the 0.5-0.618 Fibonacci area could lead to a rally to the next resistance at 72%.

Synthetix (SNX) will show a big upward movement

SNX has the potential to be one of December’s biggest gainers. This is due to the breakout of long-term horizontal and diagonal resistance levels.

Synthetix price bounced off a descending resistance trendline in June and then the 550-day horizontal resistance area in November.

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Additionally, the weekly RSI has almost crossed into overbought territory. Previously, a similar movement led to parabolic growth and reaching a historical maximum. The immediate resistance is at $7.30, which is 90% higher than the current price.

Despite the positive outlook, a close below the $3.20 horizontal area will invalidate the breakout and trigger a protracted SNX correction to the immediate $1.90 support zone.

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