Top Analyst: Final Capitulation Crash Before BTC Reversal?

To predict when BTC may bottom out, cryptocurrency expert Benjamin Cowen looks at the past trends of Bitcoin bear markets.

According to Cowen’s latest strategy session, it would be plausible to anticipate a bottoming scenario similar to that of 2018, when the price of BTC hit a series of slightly higher lows before abruptly tumbling to new lows to reach its floor.

“So far in 2022, making a case for the bottom has not served anyone well, and that’s why at the beginning of the year, we said, ‘Look, don’t spend too much mental energy trying to call a bottom in 2022….’

When you’re in the bear market, you give it a little more time, and we tend to go lower.

If you were to follow a similar type of pattern here – we could sort of extrapolate out the 200-day simple moving average if it were to continue down on its current trajectory, where might it cross?”

According to Cowen, based on the historical comparison, a possible capitulation event might occur around December 25th of this year, when Bitcoin hits its lowest point before gearing up for another bull market.

“You could see that it would cross somewhere in late December, right around Christmas, December 25th, December 26th, December 27th, around the holidays is where it would cross.

I can’t say for sure, obviously, if it’s going to play out in the exact same fashion, but I will say this. This bear market has been going on for over a year now, and historically, bear markets for Bitcoin last about a year. The one in 2014 lasted 14 months, and the one in 2018 lasted about 12 months, so in that context, you could argue that we’re well within the window as to when bottoms typically occur in terms of time.”

At the time of writing, Bitcoin is trading at $16,608, a slight decrease from the previous day.