Benjamin Cowen, a renowned crypto analyst, has expressed optimism about Ethereum (ETH) potentially outperforming Bitcoin (BTC) in the near future. Despite both leading cryptocurrencies experiencing significant price fluctuations, Cowen believes that Ethereum’s current downtrend will come to an end by the end of the year, paving the way for a resurgence.
In a recent interview on the Bankless podcast, Cowen delved into an in-depth analysis of the current crypto market conditions, with a particular focus on Bitcoin and Ethereum price movements in comparison to previous bull cycles. He shared insights into Ethereum’s outlook and confidently stated that the cryptocurrency is poised to outperform Bitcoin in the upcoming bull cycle.
Cowen noted that the Third Quarter (Q3) of 2024 has been relatively uneventful, with sharp price declines and negative sentiment prevailing in August and September. He predicted that Ethereum could potentially drop even further before showing any substantial increase in its price.
The analyst highlighted a unique trend pattern that Ethereum typically follows in each cycle, where the ETH/BTC trading pair reaches a peak, followed by a low, and then forms a lower high. He referenced past instances where Ethereum experienced significant drops, only to recover and resume an upward trajectory post-halving.
Cowen emphasized that this distinctive price action has been consistent in every bull cycle, and Ethereum is currently following a similar trajectory. He pointed out that historically, Ethereum has outperformed Bitcoin in previous bull cycles, leading him to believe that it could do so again in the current cycle.
As a result, Cowen anticipates a shift from the Federal Reserve (FED) that could drive the ETH/BTC pair to a price bottom by the end of the year. He predicted that the price of Ethereum may potentially dip below $2,000 in the Fourth Quarter (Q4) of this year before bouncing back to new levels.
During the podcast, Cowen addressed the question of whether the bull market is over, considering the prevailing market conditions in the crypto space. Following Bitcoin’s all-time high of over $73,000 in March 2024, the cryptocurrency has experienced a significant downtrend, even dropping below $54,000 at one point. This unexpected bearish trend post-halving has led to speculations about the end of the bull run.
Cowen clarified that the market has already gone through the Quantitative Tightening (QT) phase of the bull market and is now gearing up for a Quantitative Easing (QE) bull market by 2025.
In conclusion, Cowen’s analysis and projections suggest that Ethereum is on track to potentially outperform Bitcoin in the upcoming bull cycle. Despite the current downtrend and market uncertainties, Cowen remains confident in Ethereum’s ability to rebound and reach new heights in the crypto market.
