Benjamin Cohen: Ethereum will remain weak for a few more weeks

Crypto market analyst Benjamin Cohen warns that Ethereum ETH $2,693.86 Bridged Ether (StarkGate) -10.02% Market capitalization $68.79 million VOL. 24 hours $3.64 billion is in a «period of weakness» that could last for another three to four weeks, i.e. until mid-December. According to him, the asset is losing support against both the US dollar and bitcoin, repeating the patterns of previous cycles.

In his latest update, Cohen noted that ETH has been moving within a familiar range of $ 2,900 to $ 4,900 for several months now. This scenario is reminiscent of the previous market cycle, when Ethereum first rose to almost $ 4,900 and then fell to $ 2,100. «The $ 2,100 mark is critical because it was at this level that Ethereum was at during the summer lows,» the analyst explained.

Previously, Cohen did not consider such a deep drop to be a baseline scenario, but now he admits that it is possible if ETH loses support at around $ 2,900. The current weakness, according to his estimates, is related not only to technical factors but also to the seasonal behavior of Ethereum against bitcoin. The analyst points out that in December of the previous years — from 2015 to 2020 — the ETH/BTC rate regularly reached reversal points.

Cohen predicts that this time, the ETH/BTC pair may repeat the historical pattern: form a bottom at the same level as in the previous cycle, then rise briefly and fall again to around 0.0029 BTC. «I expect Ethereum to continue to weaken against bitcoin until at least December,» he said.

At the time of publication, Bitcoin BTC $84,067.01 Mezo Wrapped BTC -10.10% Market capitalization $42.94 million VOL. 24 hours $5.48 billion is trading at around $ 85,962, while Ethereum is at $ 2,885. Market analysts note that the restoration of confidence in altcoins can only occur after the macroeconomic situation stabilizes and volatility in the BTC market decreases.