Ethereum (ETH), the second-largest cryptocurrency by market cap, is facing a potential crash in December, according to a warning issued by prominent crypto analyst Benjamin Cowen. With a significant following of 869,900 followers on the social media platform X, Cowen highlighted historical patterns that suggest ETH may experience a drop towards the end of the year.
Cowen pointed out that in 2016, Ethereum witnessed significant drops in April, August, and December. Drawing parallels to the current market conditions, he noted that in 2024, ETH has already experienced notable drops in April and August, indicating a possible similar pattern playing out. He suggested that there is a decent chance for another drop in Ethereum’s value before the end of the year, with the lowest point potentially in December.
Currently trading at $2,517, Ethereum has seen a marginal decrease in the last 24 hours. Cowen also highlighted the ETH/BTC pair, warning that it could start to dip around the same time as Ethereum’s price drop. He mentioned that if the support around 0.038 does not hold, the pair could fall to as low as 0.036.
According to Cowen, the ETH/BTC pair is currently valued at 0.0372. He emphasized that the pair may not hit its low until it fails to surpass its 50-day simple moving average (SMA), indicating a potential prolonged downward trend.
As part of his analysis, Cowen provided insights into the price action of Ethereum and BTC, using historical data and technical indicators to predict potential future movements in the market. He stressed the importance of monitoring key levels and indicators to anticipate market trends and make informed investment decisions.
With market volatility and uncertainty looming, investors are advised to stay informed and vigilant in tracking the developments in the cryptocurrency space. Cowen’s warning serves as a reminder of the inherent risks and fluctuations in the crypto market, urging investors to exercise caution and conduct thorough research before making any investment decisions.
As the year comes to a close, the crypto community will be closely monitoring Ethereum’s price movements and market dynamics to assess the accuracy of Cowen’s predictions and navigate the evolving landscape of digital assets.