Crypto Analyst Predicts Diminished Returns for Bitcoin and Ethereum
Guy Turner, the host of the Coin Bureau YouTube channel, has raised a key point regarding Bitcoin's growth potential, suggesting it could be limited by diminishing returns.
With 2.34 million subscribers, Turner’s insights on Bitcoin‘s future performance are gaining attention.
To gauge historical gains, Turner’s approach involves analyzing past support and resistance levels throughout market cycles and comparing them with the most recent peaks. In the first cycle, Bitcoin’s support and resistance were around $1,000, with a 20-fold gain when it peaked at around $20,000 in 2017.
In the second cycle, Bitcoin’s key support and resistance hovered at roughly $10,000, and its 2021 peak of $70,000 resulted in a sevenfold gain. This pattern hints at diminishing returns as Bitcoin matures, a common feature for most assets.
If this trend persists, Bitcoin may see a threefold increase from its current zone to its next peak, with the current key zone estimated at $40,000.
Meanwhile, Ethereum (ETH) is also experiencing diminishing returns, following Bitcoin with a one-cycle lag. In the previous cycle, ETH’s support was around $250, and it reached $5,000 in 2021, marking a twentyfold gain.
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Similarly, a sevenfold gain from its current zone of approximately $2,500 would point to a peak of $15,000, aligning with other predictions.
At the time of writing, Bitcoin is trading at $34,308, and Ethereum is valued at $1,815. Turner’s analysis serves as a reminder that cryptocurrency markets are evolving, and historical performance suggests a pattern of diminishing returns as these assets mature.
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.
