Is Ethereum (ETH) on the Verge of Collapse Against Bitcoin (BTC)?
Crypto analyst Benjamin Cowen believes that Ethereum (ETH) is about to collapse against Bitcoin (BTC). In a recent strategy session, Cowen discusses the ETH/BTC ratio and highlights a historical pattern that suggests a potential loss of a key support level. While he acknowledges the possibility of a bounce, Cowen predicts that Ethereum might follow a similar cycle to what happened in 2019-2020, where support breaks, finds a bottom, goes sideways, and eventually starts trending back up.
Historical Pattern Indicates ETH/BTC Ratio Might Lose Key Support Level, Warns Crypto Analyst
Cowen suggests that the current ETH/BTC ratio is repeating a historical pattern, similar to what occurred in December 2017. He points out that support might break at around the 0.049 BTC level, which could lead to a decline in value. While there is a chance of a bounce, Cowen believes that Ethereum may need to find a bottom around 0.037 BTC before it starts trending upward again. The key support level to watch is currently at 0.055 BTC.
The Uncertain Future: Bullish or Bearish? Analyzing the ETH/BTC Trading Pair
Analyzing the ETH/BTC trading pair, Cowen notes that there are both lower highs and higher lows in the weekly timeframe, making it difficult to determine if the pair is bullish or bearish. He suggests that the higher lows could be explained by a logarithmic regression curve, but the lower highs are a cause for concern. Cowen admits that he does not know the ultimate outcome of this pattern and says that one could make a case for either a bullish or bearish scenario.
What Can Logarithmic Regression Curves Tell Us About the Direction of ETH/BTC?
Cowen proposes that logarithmic regression curves could provide insight into the future direction of the ETH/BTC trading pair. While the higher lows indicate potential support, the lower highs create uncertainty. By plotting the data on a logarithmic scale, Cowen suggests that it might be possible to identify a trend and predict the future movement of the pair. However, he emphasizes that the outcome is still unknown, and the trading pair could go either way.
Trading Update: ETH/BTC Currently at 0.049 BTC, but Where Will it Go Next?
At the time of writing, the ETH/BTC pair is trading at 0.049 BTC ($2,298). Cowen points out that this is an important level to watch, as support might break below this value. If support does break, Cowen predicts that Ethereum could find a bottom around 0.037 BTC before it starts to trend back up. However, he also mentions that there is a possibility of a bounce, in which case the bull market support band at 0.055 BTC would be a key level to monitor.
In conclusion, crypto analyst Benjamin Cowen believes that Ethereum is on the verge of collapsing against Bitcoin. He points to a historical pattern and a potential loss of a key support level as indicators of this possible decline. However, he also acknowledges the uncertainty of the situation and highlights the conflicting signals seen in the ETH/BTC trading pair. Traders and investors will need to closely monitor the market to determine the future direction of Ethereum in relation to Bitcoin.
Analyst comment
Negative news. The analyst predicts that Ethereum (ETH) might collapse against Bitcoin (BTC) due to a potential loss of key support levels. However, he also acknowledges the uncertainty and conflicting signals in the ETH/BTC trading pair, making it difficult to determine the ultimate outcome. Traders and investors should closely monitor the market to assess the future direction of Ethereum.
