Benjamin Cowen Reveals Interesting Bitcoin Prediction

It has been revealed that the important analyst Benjamin Cowen is expecting a downward move for Bitcoin before we can see a full-blown bullish one for the king coin. Here are the latest reports and price predictions.

According to the latest reports coming from the online publication the Daily Hodl, Benjamin Cowen says that historical precedent makes it likely that Bitcoin’s (BTC) latest rally will lead to a dramatic correction before the real bull market kicks off.

In a recent interview with Crypto Banter, Cowen explained that Bitcoin’s current rally is not due to new capital inflow in the market.

Instead, the analyst stated the fact that traders are converting their altcoins, which are considered riskier, into BTC.

Cowen predicts that as liquidity from altcoins dries up, Bitcoin’s rally will lose momentum. He also believes that BTC will eventually face resistance at one of its nearby levels and plunge, causing altcoins to follow suit.

“Bitcoin usually has a pretty significant sell-off sometime before the halving. I mean maybe it happens after the halving, I don’t know.

But the reason it happens, in my opinion, is because liquidity has gone. So I think the reason Bitcoin is going up right now, it’s not because new money is coming into the space, because if new money was coming into the space… wouldn’t the total market cap have gone higher?”

He continued and stated the following:

“So the total market cap has stayed the same. The reason Bitcoin is going up is because people are converting their altcoins to Bitcoin, and that’s why Bitcoin dominance is going up. But the issue is, at some point, all that liquidity in the altcoin market has been bled dry, so there’s just no liquidity left in altcoins to buy Bitcoin.

And then when that happens, when Bitcoin goes into a risk-off environment again, and all this prior money that was sitting in the altcoin market that was there to scoop up ‘cheap Bitcoin,’ that money is gone and there’s no longer a bid.”

At the moment of writing this article, BTC is trading in the green and the king coin is priced at $30,621.

Earlier today, we revealed the fact that a closely followed crypto strategist believes that Bitcoin (BTC) is forming a technical pattern that could send the top digital asset by market cap skyrocketing.