Renowned cryptocurrency analyst, Benjamin Cowen is optimistic that Ethereum (ETH), the top altcoin globally, may soon surpass Bitcoin (BTC) in performance. This hopeful forecast emerges amidst considerable price swings in both cryptocurrencies. Cowen believes that Ethereum’s current downtrend will finish by year-end, paving the way for a rebound.
Ethereum Set to Outshine Bitcoin
In a recent appearance on the Bankless podcast, Cowen delved into the current landscape of the crypto market, focusing on the price trends of Bitcoin and Ethereum in comparison to past bull markets. He shared his belief that Ethereum is likely to outperform Bitcoin in the upcoming bull cycle.
Cowen observed that the third quarter of 2024 has been rather uneventful, with significant price drops in August and September, reflecting a negative mood in the wider crypto market. He forecasts that Ethereum could potentially decline further before there’s any noticeable rise in its price.
The analyst indicated that Ethereum typically shows distinct trend patterns in each cycle, where the ETH/BTC trading pair often peaks, then dips, and later sets a lower high. For instance, in 2016, Ethereum first broke its support, peaked, and then saw over a 70% drop. Yet, it eventually rebounded and continued its upward trend in the year following the halving.
Cowen emphasized that this specific price behavior has recurred in all bull cycles, and Ethereum appears to be on a similar path now. He noted that historically, during past bull cycles, Ethereum has outperformed Bitcoin, and he remains confident it could happen again in this cycle.
Consequently, Cowen predicts an impending shift from the Federal Reserve (FED), which he believes will push the ETH/BTC pair toward a price bottom by year-end. The analyst forecasts that the price of Ethereum may fall below $2,000 in the fourth quarter (Q4) of this year, before rising to new heights.
Is The Bull Market Over?
Throughout the podcast, Cowen faced numerous inquiries, the most pressing being, “Is the bull market finished?” This query stems from the present market conditions within the cryptocurrency sector.
After Bitcoin reached its all-time high of over $73,000 in March 2024, it has seen a steep decline, even dropping below $54,000 at times this year. This surprising downturn following its halving event on April 20 has led to speculation about the end of the bull run.
In responding to the question of whether the bull market has concluded or is just on the verge of starting, Cowen clarified that the market has already undergone the Quantitative Tightening (QT) phase associated with the bull market and is transitioning towards a Quantitative Easing (QE) bull market anticipated by 2025.
Image Source: Hi my name is Jacco / Shutterstock
