While investors were waiting for a big boom in Bitcoin and altcoins, a frightening analysis came from well-known cryptocurrency analyst Benjamin Cowen.
Alerting altcoin investors of a massive drop, the analyst claimed that altcoins, excluding Ethereum (ETH), could experience a drop of up to 40% against BTC.
Cowen, who shared a post on Twitter today, compared the situation of altcoins against BTC already in July 2019.
Stating that July 2023 and July 2019 are similar at this point, the analyst stated that if history repeats, altcoins except ETH may experience an alarming collapse against Bitcoin.
Cowen added the Total 3 Index chart to his share, which shows the status of other altcoins excluding ETH against BTC.
Commenting on the chart, Benjamin Cowen said that the chart shows that the value of altcoins against Bitcoin is approaching the critical support level, similar to the crash in 2019.
“In July 2019, altcoins were the same as today against Bitcoin.
While the timeframes don't have to align perfectly, this chart shows that altcoins could collectively drop another 40% against BTC.
This chart does not mean that you can't bounce occasionally in Altcoin/BTC pairs.
History shows us that price movements can be random from time to time. At this point, the intermittent recovery does not weaken the general macro thesis regarding the value of altcoins against BTC.”
In July 2019, altcoins were at the same valuation against #BTC that they are today.
While timeframes do not have to align perfectly, this chart still suggests that altcoins could collectively drop another 40% against BTC.
It’s called the altcoin reckoning for a reason. pic.twitter.com/6VHghFvbip
— Benjamin Cowen (@intocryptoverse) July 9, 2023
One of Cowen's followers made a comment under this post, stating that Bitcoin, along with altcoins, fell in the same period in 2019.
Acknowledging this fact, Cowen argued that BTC could also fall in the second half of 2023, but that it could experience a more significant decline in altcoins compared to BTC.
Benjamin Cowen finally reiterated that he is behind the idea that altcoins can experience significant decreases against BTC, regardless of possible decreases in BTC.
*Not investment advice.
