When there’s a Bitcoin selloff, crypto enthusiasts know that this is the best time for accumulation. Check out the latest predictions about the issue below.
New Bitcoin selloff predictions
Popular crypto analyst Benjamin Cowen said that the historical performance of Bitcoin (BTC) suggests that investing in altcoins right now remains risky.
During a new strategy session, Cowen said that the price movement of Bitcoin in 2018 hints at what would happen to the altcoins market if the benchmark cryptocurrency continues to slide.
“We need to look at what has happened in the past and say if we put in a lower low, what happens? The altcoin market against the Bitcoin market changes. The best way to understand that is by looking at Bitcoin dominance [the ratio between the market cap of Bitcoin to the rest of the cryptocurrency markets].”
He continued and pointed out the fact that:
“The dominance right now is at the exact same level it was at in June of 2018, the exact same level and then the dominance shot up… What happened in June of 2018? That’s where Bitcoin puts in a lower low.”
Cowen also made sure to explain that altcoin valuations can change. This can happen if Bitcoin puts in a lower low, which he says is likely to happen.
“We don’t know yet if Bitcoin’s gonna put in a lower low but I would say there is a risk of it happening, a very high risk of it happening. If Bitcoin puts in a lower low, the structure of the market changes completely. The reason is because the bulls can no longer hold on to the thesis that it is still a bull market because we’re putting in higher lows.”
He said that then the bulls can give some ground and he also made sure to point out the fact that there can be a parallel with BTC performance from back in 2018.
At the moment of writing this article, BTC is undergoing a correction. The king coin is priced at $38,974.
