The popular cryptocurrency analyst made important statements about the status of Bitcoin (BTC).
In a newly released video, Benjamin Cowen said that Bitcoin has fallen below the bull market support band; this is notable because when this happens with altcoins as well, the price may tend to fall against BTC:
“The problem is that when we're here [the current low] and there are tremors, altcoins can never fully return to where they were before Bitcoin suffered the tremor. When Bitcoin is above the 20-week moving average, like here [late 2020 to early 2021], we know that during these phases altcoins can quickly recover and then quickly hit all-time highs.”
Cowen considers predictions of an epic price crash unlikely as he continues to tackle Bitcoin itself.
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“Do I think we're going to go back to $10,000 and spend a few years between $10,000 and $15,000? No. But I also don't see that we can have a parabolic rally next week that will take us to $100,000. I just want to be realistic and present people with realistic expectations. Wait, be patient, wait for the rally to come to you.”
The analyst then explained how extended market cycles would logically include longer sideways price movements:
“I still think that if we bounce off these levels [$30,000 to $60,000] like we did in the summer, it still looks like we've entered a long cycle. We had these long reaccumulation phases in the last cycle [2015-2017]. They weren't that long, but there were phases where Bitcoin went more or less sideways for over half a year. Also, a prolonged cycle can be expected to have longer side periods.”
Cowen concluded his analysis by plotting the future price movements of Bitcoin and stated that he believes BTC will revisit all-time highs once again by mid-2022.