Analyst Benjamin Cowen Warns Bitcoin May Repeat Dot Com Crash Pattern As Ominous Signal Flashes
Standard crypto analyst Benjamin Cowen is warning Bitcoin (BTC) merchants that the highest crypto asset is presently flashing an ominous indicator.
In a brand new YouTube video, Cowen tells his 784,000 subscribers that Bitcoin is experiencing a weekly demise cross for the primary time ever.
A demise cross takes place when a short-term transferring common crosses under a long-term transferring common, reflecting value weak spot.
The analyst notes that BTC’s 50-week easy transferring common (SMA) is at $24,678 and its 200-week SMA is now at $24,999.
“Usually in bear markets, we’re not under the 200-week SMA, like hardly in any respect. And if [Bitcoin] is, it’s a comparatively quick time frame. It’s kind of simply these wicks for essentially the most half. Now, on this bear market, we’ve principally been under it since June, for essentially the most half…
Now [BTC] form of come again as much as [the 200-week SMA], however we’ve got not definitively damaged via the extent that traditionally held as assist.”
Cowen says the worst-case situation for Bitcoin can be it mimicking the Nasdaq in the course of the dot-com crash from 2000-2002.
“You get that 77% pullback, adopted by a 60% rally as much as the 50-week SMA, after which adopted by a gradual bleed into the ultimate low. However do word that even the Nadaq, once you did get that, it really had form of a neighborhood double high, the place it got here as much as the 50-week, got here again down, hovered for a… month, popped again up, after which got here down. In order that’s really what the Nasdaq did manner again when, so possibly be looking out for that.”
BTC is buying and selling at $21,721 at time of writing.
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