Benjamin Cowen outlined his view of the current bull market. What is his longer-term prediction, and what exactly does Cowen say will differentiate this cycle from past ones?
Benjamin Cowen predicts cycle extension
Cryptanalyst Benjamin Cowen argues that the current BTC market cycle is proving unique. It should be different from previous cycles, Cowen told his 456,000 subscibers. According to him, the increasing capitalization makes further price growth more and more demanding. He stated:
“With each new cycle, it will get harder and harder to break up, and again the reason is that market capitalization is growing, [a] an exponentially larger volume is needed to increase the price. “
The analyst has long been bullish, but says the cycle is getting longer and growth may be slower than in previous cycles. The lengthening cycle then means that the return on investment in BTC gradually decreases.
BTC will go up
According to Cowen, in order to get above $ 100,000, we will need institutions that will supply the necessary volume.
“It’s a cycle of institutions and I’ve always been skeptical that every known institution is going to FOMO in 2021 [vstup hnaný strachem z ušlé příležitosti] to BTC and we will all sell it in 2022 and return in a few years. I don’t think it will work that way. I think a lot of institutions will continue to pour, and this cycle will be somewhat different from all the other cycles we have seen.
We compared a lot with the cycle in 2013. I think it is similar to the cycle from 2013, but significantly extended. I think the main thing is that in this current cycle, the time between the various movements has changed compared to the cycle in 2013. skutečnosti In fact, we have returned to a lower return on investment than in the previous market cycle. ”
Cowen believes that it is possible that BTC may stagnate for several months and wait for new historical highs to be reached. It will also potentially fall below $ 30,000. However, he predicts that BTC has not yet said the last word in the current market cycle.
“I think we have a similar type of outlook ahead of us as in 2019, when we will either fall or move sideways for a while. We will have this phase of consolidation and then we will continue to the next stage of our journey, and this will be just another stepping stone to get there. That’s how I see it in the end, “ concludes the analyst.
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