Popular crypto analyst and dealer Benjamin Cowen is wanting on the prospects of Bitcoin (BTC) because the main cryptocurrency continues to commerce under $50,000.
Cowen notes to his 679,000 YouTube subscribers that BTC is presently properly under its bull market assist band, a technical indicator that’s a mixture of the 20-week easy shifting common (SMA) and the 21-week exponential shifting common (EMA).
Bitcoin is buying and selling at $46,265.39 at time of writing and is down greater than 2% up to now 24 hours.
The 20-week SMA sits proper round $53,000 and the 21-week EMA is just under $51,000, which suggests Bitcoin could possibly be in for a tough few months, in accordance to Cowen.
“Historically, we all know that going under the 20-week SMA, when we’ve got weekly closes under it – it could actually have a tendency to take a number of months earlier than we will break again above it.
If you guys keep in mind again in the summertime, we broke under in the midst of May, and we didn’t truly break again above it till August.
This time, we broke under it in late November, so it’s been a bit of over a month up to now. I imply it appears utterly affordable that we may nonetheless have a methods to go earlier than we will truly break again above it.”
Cowen doubts Bitcoin may have a parabolic Q1, predicting that the highest crypto asset will probably be “somewhat range-bound for a while.”
“I don’t really see a major market cycle mania peak for Bitcoin, not until much deeper into 2022 at the very earliest, and again, it might not be until 2023.”
He does be aware, nonetheless, that if Bitcoin manages to break again above $53,000, then he’d flip bullish on the main cryptocurrency.
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