Analyst Benjamin Cowen is leaning bearish on Bitcoin (BTC) amid a single-digit correction by the flagship crypto asset over the previous week.
Cowen tells his 814,000 YouTube subscribers in a brand new video that if Bitcoin fails to beat the higher development line shaped by the collection of decrease highs on the weekly timeframe since March, it’s prone to plunge by round 32% from the present degree to the decrease development line shaped by a collection of decrease lows generated over the identical interval on the identical timeframe.
“If Bitcoin is rejected up right here [upper trendline] once more and it comes down once more then it’s a must to have a look at this development line down right here [lower trendline] once more and if you happen to have a look at the underside a part of this development line let’s say by December….it will put the worth of Bitcoin proper round $42,000.”
Supply: Benjamin Cowen/YouTube
Cowen additional says,
“The explanation why $42,000 is an attention-grabbing quantity is as a result of if you happen to return and have a look at the 100-week transferring common, you’ll be able to form of see that by the November-December timeframe, that’s mainly the place the 100-week transferring common goes to be.”
Supply: Benjamin Cowen/YouTube
Bitcoin is buying and selling at $61,760 at time of writing.
In line with Cowen, Bitcoin will mirror value motion from earlier cycles if it fails to interrupt above the higher development line.
“If Bitcoin can not break the decrease excessive construction… if it may well’t break by means of the decrease excessive construction and the bulls simply get drained as soon as once more then I feel your eyes should be drawn to the 100-week transferring common which is the place Bitcoin fell in This fall of 2019 and Q1 of 2016.”
Supply: Benjamin Cowen/YouTube
Generated Picture: Midjourney
