Here’s a Potential ETH/BTC Capitulation Scenario, According to Crypto Analyst Benjamin Cowen

A crypto analyst named Benjamin Cowen has presented a potential scenario for the Ethereum versus Bitcoin (ETH/BTC) pair, based on historical price action. Cowen suggests that if the Federal Reserve cuts rates in September, the pair could experience a capitulation similar to what occurred during the 2016 market cycle. In that cycle, ETH/BTC swept the lows at 0.015 BTC in June, while this time it happened in May, about one month earlier. According to Cowen, if ETH/BTC follows the 2016-style capitulation, it might rally to immediate resistance at 0.056 BTC in August before revisiting support at 0.045 BTC in September. The analyst also predicts that a rate cut could trigger a collapse for the pair, leading to ETH/BTC reaching its cycle lows by the end of the year. In December 2016, ETH/BTC dropped to as low as 0.00733 BTC before rebounding to record highs of 0.156 BTC a year later. As of now, ETH/BTC is trading at 0.0519 BTC, equivalent to $3,524.