Leading the crypto sphere with his insightful analysis, Benjamin Cowen, the renowned founder of IntoTheCryptoverse and influential crypto YouTuber, has issued a dire warning to cryptocurrency investors.
In his series of tweets, Cowen sounded the alarm bells, signaling an impending significant downturn for altcoins against Bitcoin (BTC). His expert analysis points to a concerning similarity between the current valuation of altcoins compared to BTC and a critical event that took place in July 2019.
Backing his claim, Cowen shared a revealing chart depicting the Total 3 index, encompassing all cryptocurrencies except Bitcoin and Ethereum, in relation to BTC. Evidently, his chart graphically displays an approaching critical support level, eerily reminiscent of the 2019 occurrence.
Despite the potentially unsettling forecast, Cowen reassured investors that occasional altcoin-to-BTC rebounds should not be entirely ruled out. He emphasized the unpredictable nature of market movements, stating that intermittent recoveries should not overshadow the overall macro thesis on the altcoin-to-BTC ratio.
“It’s called the altcoin reckoning for a reason.”
Downward spiral?
In response to Cowen’s warning, one of his astute followers pointed out that Bitcoin itself experienced a decline during the same period in 2019. Acknowledging this fact, the analytical expert reinforced his position, asserting that while BTC may face a decline in the latter half of 2023, altcoins could bear an even more substantial drop. He stressed that ALT-to-BTC pairs are poised to encounter considerable downward pressure, irrespective of short-term fluctuations in BTC to USD.
Overall, this cautionary advice arrives at a time when the cryptocurrency market is marked by heightened volatility, with market participants keeping a watchful eye on the movements of both Bitcoin and altcoins.
Source: https://coinpedia.org/altcoin/altcoin-crash-prominent-analyst-forecasts-40-drop-against-bitcoin-btc/