Prominent Analyst Predicts Significant Drop in Ethereum Value Relative to Bitcoin
Prominent crypto analyst Benjamin Cowen has suggested that Ethereum’s value relative to Bitcoin could drop by over 50%. This prediction is based on Cowen’s observation of a bearish double-top pattern on the monthly chart of the ETH/BTC pair. Historically, the pair has shown a tendency to decline from June through December. Cowen anticipates a potential drop to as low as 0.03 BTC. He believes that this drop could mark the end of the altcoin reckoning. Cowen suggests that a retracement in the stock market could be the catalyst for this decline, drawing parallels with the late 2017 scenario. However, he cautions that the pair could experience further drops before finding a bottom.
Main Breakdowns:
- Prominent analyst Benjamin Cowen predicts a significant drop in Ethereum’s value relative to Bitcoin.
- The prediction is based on the observation of a bearish double-top pattern on the monthly chart of the ETH/BTC pair.
- Historically, the pair has shown a tendency to decline from June through December.
- Cowen anticipates a potential drop to as low as 0.03 BTC, marking the end of the altcoin reckoning.
- A retracement in the stock market could be the catalyst for this decline.
Hot Take:
Benjamin Cowen’s prediction of a significant drop in Ethereum’s value relative to Bitcoin raises concerns for crypto investors. If the bearish double-top pattern on the ETH/BTC pair holds true, it could indicate a larger trend of investors trading their Ethereum for Bitcoin. The potential drop to 0.03 BTC could mark a turning point for altcoins, signaling a shift in market dynamics. However, it’s important to note that further drops and volatility may still be expected before a bottom is found. Crypto enthusiasts should keep a close eye on the ETH/BTC pair and any potential retracements in the stock market as potential catalysts for this scenario.