Crypto analyst and strategist Benjamin Cowen summarized the potential price movement of the biggest cryptocurrency Bitcoin (BTC) for the remaining weeks and months of the year. The analyst expects the crypto king to complete the year in a downtrend.
Cowen stated that Bitcoin needs to experience a single-digit percentage drop before rising to complete the downtrend formation, and he said, “There is a high probability that BTC will soon reach its previous bottom of $24,800.”
The analyst also added, “After reaching this bottom level, I expect BTC to have a relief rally before the Death Cross, which is when the 50-day simple moving average crosses below the 200-day simple moving average. However, such a rally will likely be short-lived and result in a lower high formation. Bitcoin’s price will probably remain in a downtrend for the rest of the year.”
According to CoinMarketCap data, Bitcoin’s price has risen by 1.92% in the last 24 hours, trading above $26,000 at $26,248.
Meanwhile, Cowen mentioned in a separate video analysis that the possible Death Cross gives a similar signal that hit Bitcoin before the previous halving of block rewards, saying:
So, although it may sound sensational, it is important to be aware that there is always a rally before the Death Cross. For example, on the day of the Death Cross or maybe a day before, the price usually rises and rallies. If you look at Bitcoin’s price movement in 2019, you can still see disturbingly similar patterns.
The next block reward halving for Bitcoin is expected to take place in April 2024. With this halving, the current block reward of 6.25 BTC will decrease by 50% to 3.25 BTC.