Crypto Expert Weighs In On ETH/BTC Pair’s Recent Decline
May 08 2024 - 12:00PM
NEWSBTC
Amid turbulence surrounding the crypto market, popular founder and
Chief Executive Officer (CEO) of Into The Cryptoverse Benjamin
Cowen has taken the spotlight to shed his insights on the recent
downtrend observed in the Ethereum/Bitcoin (ETH/BTC) pair. Cowen’s
views examine the complex relationship between Ethereum and Bitcoin
pricing and the potential for further downside risk. According to
Benjamin Cowen, the ETH/BTC pair is currently on the downside, and
the last 2 times that the pair declined, ETHUSD witnessed a steep
decline of around 70%. Given that the crypto community has been
eagerly anticipating an Altcoin season for the past 2.5 years,
Cowen thinks it is crucial to warn the community that there is
still a possibility of a downward movement. ETH/BTC Pair Rejected
By The Bull Market Band Cowen has also confirmed that ETH/BTC is
presently being rejected by the bull market support band, which he
previously predicted days back due to a price pump. “I would expect
it (ETH/BTC) to be rejected by the bull market support band, at
least when looking at weekly closes ($0.053-$0.054),” he stated. He
further noted that the pump appears to be mirroring the last cycle
of rate cuts right before summer capitulation. Related Reading:
Cracking the Crypto Code: ETH/BTC Signals The Next Altcoin
Explosion – Here’s How Following the launch of Bitcoin Spot
Exchange-Traded Funds (ETFs), Cowen mentioned that ETH/BTC saw a
sharp rally. The analyst affirms that the rally was probably
similar to the trend of the previous bull cycle, ushering in new
lows. Furthermore, Cowen stated that there has been an
unquestionable macro downtrend since November 2021, particularly
following the merger of the ETH/BTC pair. However, it is also
evident that the market did not decrease abruptly. As a result,
investors held ETH instead of BTC all the way down from 0.085 to
0.048 because of the multiple lower highs, giving the impression
that it was holding up quite well. Prior to the Bitcoin
Halving, Cowen predicted that the bull market support band would
reject ETH/BTC, at least when considering weekly closes
($0.053-$0.054), should there be a rebound after the Halving,
similar to that witnessed with BTC spot ETF launch. Regardless of
what occurs, the expert is confident that ETH/BTC will reach
between $0.03 and $0.04 by this summer. Heightened Divergence
Between Ethereum And Bitcoin Being the two leading cryptocurrency
assets, there is great interest surrounding Ethereum and Bitcoin.
However, on-chain analytics firm Glassnode has highlighted a shift
in performance between both digital assets. Related Reading:
Ethereum Trouncing Bitcoin, ETH/BTC Ratio Bouncing Higher: Will
This Trend Continue? According to the firm, the performance of
Ethereum and Bitcoin has been increasingly diverging so far in the
2023–2024 cycle. This is due to poorer performance in ETH price,
which is explained by a generally weaker trend in capital rotation.
In addition, this is evident when particularly compared to
preceding cycles and all-time highs. Featured image from iStock,
chart from Tradingview.com
Ethereum (COIN:ETHUSD)
Historical Stock Chart
From Apr 2024 to May 2024
Ethereum (COIN:ETHUSD)
Historical Stock Chart
From May 2023 to May 2024