Closely followed crypto strategist Benjamin Cowen is unveiling his timeline for when Ethereum (ETH) can rally back to its all-time high of $4,865.
In a new strategy session, Cowen tells his 705,000 YouTube subscribers that Ethereum has been trading in a wide range between $2,000 to $4,000 since early 2021.
The crypto analyst argues that Ethereum’s extended consolidation has not been out of the ordinary.
“You also have to remember that that volatility is incredibly normal for an asset class that’s able to yield a 40x in about a year. If a 40x is possible in a year and then we have to consolidate for a while, oftentimes these consolidation phases can last.”
Cowen is referring to Ethereum’s massive rally from March 2020 to May 2021 when the leading smart contract platform surged from about $100 to over $4,000.
The crypto strategist also says that Ethereum’s current price action resembles its market structure back in 2016 when the second-largest crypto also consolidate for almost a year before igniting a parabolic surge.
Using Ethereum’s 2016 market structure as a roadmap for what’s ahead, Cowen predicts a rally to ETH’s all-time high before the first half of 2022 ends.
“Qualitatively, there still remains a lot of similarities between what would happen with Ethereum back then and what is happening today. Now I should say I don’t expect Ethereum to pull off a 200x move from this point even if this does prove to just be a long sideways consolidation because that’s what it did last time. It went from $7 up to $1,400 in a relatively short period of time. I don’t expect that.
But what I would expect is, if it is going to play out, what does it mean? It means we have still a grind ahead of us. If it’s going to take us until May to get back up to the prior all-time high, which would be, I mean at this point, a lot of people would very much welcome Ethereum going back to the prior all-time highs by May.”
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