Bitcoin
Analyst warns that Ethereum’s fate is linked to Bitcoin: ‘If ETH rises from here, it will only be due to…’
May 9, 2024 10:29 am | 2 minutes of reading |
In a recent development, esteemed analyst Benjamin Cowen suggested that the future of Ethereum (CRYPTO: ETH) can be heavily influenced by Bitcoin (CRYPTO: Bitcoin) performance, potentially leading to new disadvantages for the former.
What happened: According to Cowen, Ethereum may only see a rise if Bitcoin sees a substantial rise, Daily Hodl reported On thursday.
“If ETH goes up from here, it will only be due to Bitcoin going up a lot more,” he said.
Furthermore, Cowen anticipates that the Ethereum/Bitcoin (ETH/BTC) pair will likely maintain its downward trend in most scenarios, based on historical patterns.
He highlighted: “In eight of the ten quarters, Ethereum/Bitcoin fell, whether Bitcoin was up, down or flat.”
Cowen also warned that monetary policy could negatively affect Ethereum, stating: “ETH/USD is still facing some headwinds here, especially after the potential spot exchange-traded fund (ETF) rejection.”
Why this matters: Ethereum was characterized as the low performance of this cycle in the cryptocurrency market, with ongoing challenges impacting its evaluation and adoption. Despite its strong historical correlation with Bitcoin, Ethereum’s fundamentals are seen as a potential barrier to broader investment in the cryptocurrency ecosystem.
Price Action: On Thursday, Bitcoin was trading 0.42% higher at $61,449.78 and Ethereum was trading 0.08% higher at $2,981.32 at the time this article was published. written, in accordance with Benzinga Pro.
Photo by DUSAN ZIDAR on Shutterstock
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