The cryptocurrency trader and analyst Benjamin Cowen has expressed alarm over a possible large decline in Ethereum’s (ETH) price.
A recent research by Cowen, who pointed out the loss of significant support levels for the ETH/BTC trading pair, suggested that the price of ETH would drop by 60%.
Comparing the value of Ethereum to that of Bitcoin, or ETH/BTC, is a trading pair that is commonly used to gauge market sentiment and the relative strength of the two biggest cryptocurrencies.
Based on Cowen’s research, the recent breakdown of significant support levels in the ETH/BTC pair may indicate more short-term negative for Ethereum’s price.
https://x.com/intocryptoverse/status/1780235038564536649
The cryptocurrency researcher claims that ETH/BTC has broken significant support twice in the last six months, and that the pair ETH/USD has dropped 60% from its previous local high in the last three to six months. He said that support for ETH/BTC has recently declined, and the current ramifications of this trend are uncertain.
Cowen’s caution comes at a time when the cryptocurrency market is witnessing more volatility and unpredictability, with Ethereum’s price and trade volume fluctuating.
The Ethereum price is struggling to hold the critical $3,000 mark, and the lack of support for the ETH/BTC combination increases the amount of uncertainty around the market.
As of the publication of this article, ETH was down 3% over the previous day to $3,055. The next crucial support range for Ethereum is presently between $2,000 and $2,430, where about 9.37 million addresses hold about 53 million ETH, according to cryptocurrency expert Ali.
Though Cowen’s 60% decline projection is striking, it’s crucial to remember that forecasts are not guarantees. Even if past trends and possible outcomes are important to take into account, prior performance may not necessarily translate into future success.
In unrelated news, in response to suggestions meant to curb the staking pool’s explosive growth, the Ethereum community is discussing modifying the ETH monetary policy. Two Ethereum researchers suggested delaying ETH issuance, which would lower staking incentives and spark this conversation.
