A widely followed crypto analyst is warning investors, saying top altcoin Ethereum (ETH) may experience a crash in December.
In a new strategy session, prominent crypto trader Benjamin Cowen explains tells are 869,900 followers on the social media platform
“In 2016, ETH saw big drops in April, August and December. In 2024, ETH has seen major declines in April and August. So there’s a good chance it plays out in a similar fashion, with another drop in ETH before EOY (year-end), bottoming out in December.”
Ethereum is trading at $2,517 at the time of writing, down marginally over the past 24 hours.
Cowen further notes that the ETH/BTC pair could start falling around the same time, dropping to a low of 0.036 if support around 0.038 does not hold.
“ETH/BTC just made the previous low. Like I said, if 0.038 isn’t right, 0.036 is probably the next stop. Structurally, I think the bottom will be before EOY (second week of January at the latest). The next likely target if 0.038 fails is the 2016 high at 0.036. As I have been saying for three years, the low point of this cycle is probably between 0.03 and 0.04.”
ETH/BTC is currently valued at 0.0372.
According to Cowen, the ETH/BTC pair will only bottom out failed to move above the 50-day simple moving average (SMA).
“As I said a month ago, as long as ETH/BTC fails to break above the 50-day SMA, it is logical to assume that the bottom may not have been reached. In 2016 and 2019, once the true low was reached, ETH/BTC had a strong move above the 50-day SMA (something that still hasn’t happened).
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