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ETH’s Price Could Suffer If History Repeats Itself: Analyst

Published 10/10/2023, 12:21
Updated 10/10/2023, 12:45
© Reuters.  ETH’s Price Could Suffer If History Repeats Itself: Analyst
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  • Benjamin Cowen shared in a YouTube video that he has been unimpressed by ETH’s performance throughout the past year.
  • In 2023, the ETH / BTC valuation has already dropped by 20.56%.
  • At press time, ETH was trading at $1,590.78 after its price slipped by more than 2% in the past 24 hours.

Cryptocurrency analyst, Benjamin Cowen, shared in one of his latest YouTube videos that he has not been impressed by Ethereum’s (ETH) performance this year. In his analysis, Cowen placed particular emphasis on the ETH / Bitcoin (BTC) valuation, as well as the effects that the Merge could have on ETH’s future performance.

The ETH / BTC valuation has been on a downward trend according to the monthly chart, and the analyst believes that his trend is very likely to continue through the end of the year. He based his belief off of what happened in the pre-halving year of 2019.

Monthly chart for ETH/BTC (Source: TradingView)

During this period, the ETH / BTC closed below the wick of the previous bear market’s low. In 2019, the ETH / BTC valuation declined by about 49%, and the analyst predicted this could be the case again in 2023. In fact, the ETH / BTC valuation has already dropped by 20.56%, according to the analyst, meaning that there could still be much further downside.

Although Cowen did not seem to have too much faith in the altcoin leader, the analyst was still unable to give traders an idea of what ETH could do next. This was primarily due to the fact that he believed the Merge was a “game changer”.

Things have not gone too well for the ETH / BTC valuation after the Merge as lower highs and lower lows have been consistently set on the 1-week chart. However, Cowen also highlighted that the deflationary aspect that came along with the Merge could cause ETH to behave differently than in previous cycles, making it even harder to predict what is next.

Weekly chart for ETH/USDT (Source: TradingView)

If this is the case, there might be a different outcome to the altcoin’s performance this year when compared to 2019. This could suggest that the ETH / BTC valuation might not suffer as much as Cowen anticipates.

With regards to ETH’s performance over the past day, CoinMarketCap indicated that the cryptocurrency saw its price slip by more than 2%. This meant that ETH was worth about $1,590.78 at press time. Meanwhile, ETH’s 24 hour trading volume experienced a 125.99% surge throughout the past day, which left it standing at $7.29 billion.

The post ETH’s Price Could Suffer If History Repeats Itself: Analyst appeared first on Coin Edition.

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