Benjamin Cowen, known for his analyses on cryptocurrencies, claimed that the 3-year rally of Bitcoin dominance has come to an end in his broadcast on his Youtube channel with more than 800 thousand subscribers.
“Bitcoin dominance will come to an end”
“Bitcoin dominance rally will come to an end before for the end of the year. Whether it goes up or down, Bitcoin dominance will go up. So, if Bitcoin goes up on its USD pair Bitcoin dominance will go higher. If Bitcoin goes down on USD pair, Bitcoin dominance will go higher and the reason for this, is because of monetary policy. It has nothing to do with anything else that a lot of people focus on in my opinion. It does not have to do with upgrades by various altcoins whether it be Ethereum transitioning from Pow to PoS, it has nothing to do with any of that stuff. The deflationary mechanism, it has nothing to do with which meme coins are being shilled by a creator, none of that stuff. All the Bitcoin dominance rally had to do with was the understanding that things had gotten to heated back in 2021, and that the Fed was like going to raised rates and go through a period of quantitative tightening that would cause investors to systematic flee higher risk assets in each asset class for lower risk assests within easc asset class that was the only reason.”
“I think that ETH/Bitcoin bottoms in the 0.03 BTC to 0.04 BTC range”
Commenting on ETH / BTC, the most followed trading pair in the Bitcoin parity after the dominance, Cowen stated that he thinks the bottom is now seen here:
“I think that ETH/Bitcoin bottoms in the 0.03 BTC to 0.04 BTC range, and it already hit 0.04 BTC. So there does exist a scenario where the low for ETH/Bitcoin is 0.04 BTC. Look at the last two cycles where you had a very similar setup. Okay, one of the things you may notice is that in this first cycle ETH/Bitcoin had a monthly close below the range low. So the range low was right here in 2016 and it had a monthly close below it. But the month that marked the first month with a monthly close below the range low was not the low for ETH/Bitcoin, it was, in fact, the following month.”
“Without Bitcoin, nothing happens”
Cowen stated that the continued existence of Bitcoin, the largest cryptocurrency, will give at least a chance for altcoins, and if Bitcoin disappears, none of the altcoins will be able to continue their lives, and if Bitcoin is around $300,000 in 10 years, then we will know that everything is fine for the crypto world, because if there is no Bitcoin, there will be no altcoins that you trust so much, and if there is no king, there will be no altcoins.
Cowen also stated that Bitcoin dominance will start to decline after the 60% level, and that he thinks this level will come either in September or December.