Renowned analyst Benjamin Cowen has predicted that Bitcoin (BTC) will continue to outperform altcoins in the near future. In a recent analysis, Cowen focused on Ethereum’s performance against Bitcoin (ETH/BTC), a metric often used to measure the strength of altcoins.
Cowen noted that ETH/BTC appears to be bottoming out, but he anticipates that Bitcoin Dominance (BTC.D) will continue to rise, possibly reaching the 60% mark. As Bitcoin dominance increases, Cowen believes that many altcoins will struggle to keep up with Bitcoin’s performance.
Currently, BTC.D stands at 58%, indicating Bitcoin’s dominance in the market. Cowen also highlighted the $63,000 to $64,000 range as a crucial resistance level for Bitcoin. This range, where the 200-day moving average sits, must be surpassed for Bitcoin to initiate a significant rally.
If Bitcoin can break through this resistance level and establish a higher high, Cowen believes that the odds of a sustained rally in Q4 will increase. However, if Bitcoin faces resistance at $63,000 to $64,000, it may follow a pattern similar to the previous cycle, where a brief rally is followed by a market sell-off.
As of the time of writing, Bitcoin is trading at $63,824, marking a nearly 3% increase for the day. Cowen’s analysis suggests that Bitcoin’s performance in the coming months will have a significant impact on the overall cryptocurrency market.
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In conclusion, Cowen’s analysis points to a bullish outlook for Bitcoin in the coming months, with potential challenges for altcoins to keep up with Bitcoin’s dominance. Traders and investors should closely monitor Bitcoin’s performance in the $63,000 to $64,000 range for signals of a sustained rally in the cryptocurrency market.