A popular crypto analyst says history shows that leading crypto asset Bitcoin (BTC) could fall even further as fear and uncertainty grip the markets.

In a new strategy session, Benjamin Cowen says that Bitcoin tends to revert to its 200-day simple moving average and another date with this zone is likely in the mix.

“Bitcoin has a habit of returning to [200-day simple moving average] from time to time, whether we like it or not…

I want people to see it as a possibility but not a certainty and if it is a possibility you have to plan for that scenario.

Currently, the 200-day moving average of BTC just broke above the $20,000 mark. Cowen says that if the top crypto by market capitalization were to converge with its 200-day moving average, it would happen “as soon as possible.”

“If we go to the 200 week moving average, I think it would actually happen a lot sooner than May 2023. I think it’s more likely to happen in the next few months rather than very far. I would say if we’ll go, it seems more likely that we’ll go sooner rather than later.

The analyst also notes that calls for an impending altcoin season can be swept away because this notion would not be possible without a BTC rally.

“The reason I say ignore the calls for an ‘impending alt season’ is that Bitcoin has just been thrown off the 21-week exponential moving average. How can we realistically ask the alts to rally when Bitcoin can’t get back above these levels?

Bitcoin is trading hands at $35,955 at the time of writing, a 14% drop from its seven-day high of $41,872.


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