The price of Ethereum (ETH) has been trading sideways alongside Bitcoin (BTC) in recent times. A renowned crypto analyst, Benjamin Cowen, has delved into Ethereum’s price movements and made some interesting predictions regarding its future. Cowen has suggested that the pioneer altcoin might reach a bottom in the next three months.
Cowen has pointed out a potential correlation between ETH’s price declines and the increasing unemployment rates in the United States (US). Historically, Ethereum has seen price bottoms in December during years like 2016 and 2019, coinciding with peaks in US unemployment rates. With the current rise in unemployment in the US, Cowen speculates that Ethereum could hit a price bottom in December 2024.
Over the past few months, Ethereum has been on a downward trend, experiencing a significant decline earlier this year. The cryptocurrency plummeted by over 20% and dipped below $3,000, following Bitcoin’s price movements. Despite the introduction of Spot Ethereum Exchange Traded Funds (ETFs), ETH has struggled to regain its previous highs.
Cowen has predicted that Ethereum could face a 50% decline in the near future, although he acknowledged that the actual drop might not be as drastic. He has set a new target for Ethereum’s price, suggesting that it could drop to $1,200 by December. Drawing parallels between 2019 and 2024, Cowen hinted that ETH might temporarily fall below a wedge pattern before finding a price bottom.
As of the latest data from CoinMarketCap, Ethereum is trading at $2,354, showing a slight uptick in the last 24 hours. Despite this, Ethereum has been facing increased selling pressures and market volatility. Reports indicate that MetaAlpha, a trading service company, has moved a substantial amount of ETH tokens to the Binance crypto exchange, adding further pressure on Ethereum’s price.
Ethereum’s price movements are closely tied to external factors like US unemployment rates and market trends. While the cryptocurrency may face a possible price bottom in the coming months, it is essential for investors to monitor these developments closely. As the crypto market continues to evolve, Ethereum’s future remains uncertain, highlighting the need for careful analysis and strategic decision-making.
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