Crypto Analyst Warns of Potential Price Drop For Ethereum, Be Cautious !

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Renowned cryptocurrency analyst Benjamin Cowen has issued a warning about a potential crash in Ethereum (ETH), the largest altcoin by market capitalization, compared to Bitcoin (BTC). This warning comes as Ethereum historical patterns indicate a price drop to $1,000 before entering into a bullish phase.

As of now, Ethereum is trading around $2,297, displaying a minor decrease of 0.33% in the last 24 hours.

Drop Forecast for ETH/BTC Pair

In a recent video on YouTube, Benjamin Cowen, known for his accurate crypto predictions shared his thoughts about Ethereum (ETH), he believes that Ethereum’s value might drop a lot, possibly below $1,000 before entering into a bullish period.

Cowen looks at how Ethereum has behaved in the past and sees a historical pattern where it usually goes down, then a bit up, and then down again. This makes him think that Ethereum might still have to go down again before things get better.

Highlighting the significance of the ETH/BTC pair, Cowen suggests that a breakdown in this pair might mean Ethereum’s value in regular money (USD) could drop a lot. Looking back at past times, when the ETH/BTC pair went down, Ethereum’s value in USD also went down a lot.

That’s why Cowen predicts that Ethereum might go back to low values below $1,000, especially if the ETH/BTC pair breaks down. 

Waiting for Bitcoin to Move

Cowen further suggests that any notable surge in Ethereum’s value relies on a prior upward movement in Bitcoin. He highlights the strong influence of Bitcoin’s market dynamics on Ethereum’s future movements.

Acknowledging the uncertainty in predictions, Cowen emphasizes the intricate nature of market dynamics, considering variables such as the Ethereum spot ETF and Bitcoin halving narratives.

Ethereum ETF Approval Could Act As Cushion 

Meanwhile, many experts are getting excited about the possibility of Ethereum’s price going up, if the SEC approves to spot Ethereum ETFs. Earlier, BlackRock, a major player in the financial industry, was granted an extension for its groundbreaking spot Ethereum ETF proposal, with the decision deadline now set for March 10. 

In addition to BlackRock, several other prominent entities, including VanEck, ARK 21Shares, Fidelity, Invesco Galaxy, Grayscale, and Hashdex, have submitted applications for spot Ether ETFs. Each of these contenders has a different deadline, ranging from May to July.