Widely followed analyst Benjamin Cowen is warning that Bitcoin (BTC) could fall further after the flagship crypto asset hit a low last recorded in February.
Cowen tells his 801,000 YouTube subscribers in a new video that Bitcoin could experience more downward pressure if the price falls below the 100-day simple moving average (SMA).
“In the short term the thing to keep an eye on with Bitcoin is going to be your 100-day moving average because that is where we are right now. We just swept these lows [at $60,000]. So that’s what I would keep an eye on.
The 100-day SMA has been somewhat of a support here a couple of times… so you know if the bulls are going to try to hold, I imagine they’re going to try to make it stand here…
If they don’t hold it then your next area that you’re going to look at is going to be your bull market support band. And that’s all the way down at around $55,500 to $56,200. So that would be a little bit bigger of a drop.”
Bitcoin is trading at $57,943 at time of writing, down by around 22% from the all-time high reached on March 14th.
On whether Bitcoin is likely to reach an all-time high earlier than in previous cycles (left-translated peak) or will similarly witness an all-time high to previous cycles (normal peak), Cowen says,
“There’s a lot of sort of academic discussions between left-translated peak or normal peak…
what if this just ends up being sort of a mid-cycle top that’s just occurring a little bit later because rate cuts are a little bit later, we cool off for a while and we just pick back up in the post-halving year? Definitely an option.
If that doesn’t happen and we just pick up now then I would start to believe more so in the left-translated peak idea.”
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE3
The post Bitcoin Could Undergo a ‘Little Bit Bigger of a Drop’ if Indicator That’s Acted as Support Flips: Benjamin Cowen appeared first on The Daily Hodl.
