Renowned crypto analyst, Benjamin Cowen has conveyed a strong belief that Ethereum (ETH), the leading altcoin, is poised to surpass Bitcoin (BTC) in the near future. This encouraging forecast arises as both prominent cryptocurrencies undergo notable price swings, yet Cowen anticipates the conclusion of Ethereum’s current downtrend by the end of the year, paving the way for a recovery.
Ethereum Set To Outperform Bitcoin
In a recent interview on the Bankless podcast, Cowen delved into an extensive analysis of the current crypto market landscape, focusing on price trends of Bitcoin and Ethereum compared to previous bull markets. He shared his perspective on Ethereum’s potential, asserting that the cryptocurrency will outshine Bitcoin in the upcoming bull cycle.
Cowen mentioned that the Third Quarter (Q3) of 2024 has been relatively uneventful, with August and September displaying significant price drops and overall negative sentiment in the crypto market. He forecasted that Ethereum might see further declines before any substantial price recovery occurs.
The expert pointed out that Ethereum typically follows a distinct trend pattern during each cycle, where the ETH/BTC trading ratio hits a peak, then a trough, followed by a lower high. He noted that in 2016, Ethereum lost support for the first time, peaked, and subsequently fell by more than 70%. However, the coin eventually recovered and resumed its upward path in the year following the halving event.
Cowen emphasized that this distinctive price behavior has been consistent across all bull cycles, and Ethereum is currently mirroring this pattern. He indicated that historically, during prior bull cycles, Ethereum has consistently outperformed Bitcoin, expressing confidence that the same could happen in this cycle.
Consequently, Cowen forecasts a shift from the Federal Reserve (FED) is approaching, which he believes will lead the ETH/BTC pair to a price bottom by the year’s end. The analyst projected that Ethereum’s price may fall below $2,000 in the Fourth Quarter (Q4) of this year, before bouncing back to new highs.
Is The Bull Market Finished?
Throughout the podcast, Cowen faced numerous questions, the most significant being, “Is the bull market over?” This inquiry is largely driven by the current market scenario in the crypto industry.
Following Bitcoin’s peak of over $73,000 in March 2024, the coin has been on a steep downtrend, even dropping below $54,000 at certain points this year. This unexpected bearish movement following the halving on April 20 has sparked speculations about a potential ending of the bull run.
When asked about the state of the bull market, Cowen clarified that the market has already gone through the Quantitative Tightening (QT) phase and is now gearing up for a Quantitative Easing (QE) bull market projected for 2025.
Featured image generated with Dall.E, chart from Tradingview.com
