- Renowned analyst Benjamin Cowen has raised concerns about the potential further correction of altcoins, drawing comparisons with past market behaviors.
- In a recent video, Cowen analyzes the TOTAL3 chart, which represents the market capitalization of all cryptocurrencies excluding Bitcoin, Ethereum, and stablecoins, pointing out potential upcoming trends.
- “In 2019, we saw a significant pattern where altcoins hit a low, then a high, before declining back to the low. We might be seeing a similar trajectory in 2024,” says Cowen.
Benjamin Cowen warns of possible altcoin market correction based on historical patterns, with insights into potential trends for 2024. Stay informed on key crypto developments.
Historic Patterns Indicate Potential Altcoin Correction
Benjamin Cowen, a respected analyst, has recently shared insights regarding the altcoin market, suggesting that it might be on the verge of a further correction. In his latest video, Cowen elaborates on the TOTAL3 chart, which excludes Bitcoin, Ethereum, and stablecoins from its metrics. He draws parallels between the current market situation and the pattern observed in 2019, highlighting the recurring trends.
According to Cowen, the altcoin market in 2019 experienced a low followed by a high and then a gradual decline back to the initial low. The analyst suggests that a similar movement could be occurring in 2024, with the market potentially dropping to the $440 billion to $450 billion range before stabilizing.
Implications for Ethereum Amid Bearish Patterns
Cowen also warns of a parallel bearish pattern forming in Ethereum, mirroring its 2019 behavior. The trend could indicate a prolonged decline within the broader altcoin market. Cowen predicts that Ethereum, which recently saw a significant drop to around $2,508, might continue to exhibit volatility and potentially fall back to critical trend lines near $1,980.
Drawing from past cycles, Cowen notes that Ethereum’s price often rebounds within certain wedge formations before another downward correction. He advises investors to be cautious and aware of these historical patterns as they navigate the current market landscape.
Conclusion
Analyzing historical trends, Benjamin Cowen provides valuable insights into potential future movements within the altcoin market. His observations suggest that both altcoins and Ethereum may face further corrections, contingent on repeating past patterns. Investors are advised to remain vigilant and informed as market conditions unfold.
