Crypto Analyst Warns of Impending 40% Altcoin Crash Against Bitcoin
Renowned crypto influencer and founder of IntoTheCryptoverse, Benjamin Cowen, recently cautioned cryptocurrency investors about a potential significant downturn for altcoins in relation to Bitcoin (BTC).
Cowen drew attention to a worrisome resemblance between the current valuation of altcoins against BTC and a similar situation observed in July 2019.
In a tweet, Cowen shared a chart depicting the Total 3 index, which encompasses all cryptocurrencies, excluding Bitcoin and Ethereum, compared to BTC. The chart reveals an approaching critical support level that bears a resemblance to a past event in 2019.
Despite the concerning outlook, Cowen clarified that occasional rebounds in altcoin-to-BTC pairs should not be disregarded. He emphasized the stochastic nature of market movements and maintained that intermittent recoveries should not undermine the broader macro thesis regarding the altcoin-to-BTC ratio.
Is it solely a downward trend? A follower of Cowen pointed out that Bitcoin itself experienced a decline during the same period in 2019. Acknowledging this observation, Cowen reinforced his stance by noting that while BTC may face a decline in the latter half of 2023, altcoins could experience an even more substantial drop.
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He emphasized that ALT-to-BTC pairs will likely face significant downward pressure, regardless of short-term fluctuations in BTC to USD.
This warning emerges during heightened volatility in the cryptocurrency market, with market participants closely monitoring the movements of Bitcoin and altcoins.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
