Crypto Analyst Benjamin Cowen Says Massive Ethereum Breakdown Looking More Believable Following ETH Correction
dailyhodl.com 07 August 2024 09:54, UTC An analyst who accurately called the most recent crypto correction is issuing a dire warning to Ethereum (ETH) holders.
Crypto strategist Benjamin Cowen tells his 845,000 followers on the social media platform X that Ethereum looks poised to repeat its massive corrections witnessed during the 2016 and 2019 market cycles.
According to Cowen, a similar script appears to be playing out after Ethereum recently collapsed against Bitcoin (ETH/BTC).
“This idea for ETH/USD is starting to look more believable.”
In May of this year, Cowen predicted that ETH would lose 70% of its value and plunge close to $1,150.
“The last two times that ETH/BTC broke down, ETH/USD then dropped approximately 70%.
In a world where everyone has been preaching altseason for the last 2.5 years into a BTC dominance uptrend, I thought I would remind people that there is still downside risk.”
Cowen goes on to say that Ethereum appears to be specifically mirroring its 2019 cycle and the deep pullback may occur after the Fed announces a rate cut.
“ETH is back down to this trendline.
If it follows 2019, it will hold these levels for a few weeks, and then break down again after the Fed cuts rates.
No guarantees, just following the most useful analog that has been the best guide so far this year.”
Odds that the Fed will cut rates next month have risen to 100% following this week’s crypto and stock market correction, according to CME’s FedWatch tool.
Last month, Cowen predicted that Bitcoin would witness a deep corrective move, noting that BTC seemed to be mimicking the 2019 cycle. He also forecasted that altcoins would also capitulate against the US dollar.
At time of writing, Ethereum is trading for $2,456.
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