Benjamin Cowen: Ethereum will collapse by 20% in September

Ethereum ETH $4,310.62 Bridged Ether (StarkGate) -1.49% Market capitalization $0.11 billion VOL. 24 hours $2.5 billion could fall another 20% from current levels if the September correction intensifies. ICT Crypto founder Benjamin Cowen said that after breaking through previous highs in August, ETH is likely to return to its 21-week exponential moving average (EMA), which corresponds to about $ 3,500. According to him, this is in line with the plan formed back in April, when the price fell below $ 1,500.

Statistics confirm that September is traditionally a difficult month for cryptocurrencies. According to CoinGlass, in six of the last ten Septembers, Ethereum has shown a decline, by an average of 6%. At the same time, during the bull market years, the corrections were much deeper: in September 2017, ETH fell by 21.6%, and in September 2021, by 12.5%. In both cases, the asset subsequently updated its historical highs.

Despite the short-term risks, the long-term outlook remains optimistic. According to Arkham Intelligence, a major investor with $ 5 billion in bitcoin recently purchased $ 1 billion worth of ETH and has been holding it for a while. Analysts also point to the active growth of institutional demand: in August, spot ETFs and custodians bought 33 times more ETH than the network issued.

Crypto enthusiasts make even more ambitious predictions. «DeFi Dad» suggests that ETH could reach a market capitalization of more than $ 35 trillion by 2032−2034, becoming the underlying platform for stablecoins, tokenized assets, and the TradFi financial infrastructure.

Currently, the market is in a correction phase. On Monday, ETH fell from $ 4,480 to $ 4,250, and on Tuesday it recovered to $ 4,350. At the same time, the asset continues to form lower highs and lows, which indicates that the downtrend will continue at least until the end of the month with a potential recovery in the fourth quarter.