Bitcoin (BTC) Poised for a Big Price Move, Predicts Analyst Benjamin Cowen

The post Bitcoin (BTC) Poised for a Big Price Move, Predicts Analyst Benjamin Cowen appeared first on Coinpedia Fintech News

Bitcoin bulls are once again testing the resistance level at $28,000 following an impressive rebound last week. However, in order to break out above $30,000, the bulls will need to retest even harder. Despite the overall growth in the industry, money flowing to altcoins has significantly diluted the Bitcoin bulls.

Bitcoin Liquidity Shrinks Following Collapse of Crypto-Friendly Banks

The liquidity of Bitcoin to the U.S. dollar has significantly shrunk following the collapse of three crypto-friendly banks in the United States earlier this month. According to research data provided by the Kaiko protocol, Bitcoin’s liquidity has dropped to 10-month lows as market makers lose access to USD payment rails. This low liquidity may lead to increased volatility in crypto assets.

Despite the impact of low liquidity on crypto assets, the stablecoins industry has stepped up to fill the gap left by USD payment rails.

Cowen Predicts Bitcoin Price Movements

According to crypto analyst Benjamin Cowen, Bitcoin’s price movements will mirror those of 2015 and 2019 this year. Cowen also predicts that a Bitcoin capitulation will scare more crypto traders later this year ahead of next year’s halving event. He insists that for Bitcoin price to parabolic later next year, the Fed will have to shift to quantitative easing in its monetary policies.

“I think Bitcoin will come back down later this year. It’s going to scare a lot of people, but I think it’s going to be a fairly normal thing. And it’s just going to be the scare to get people to capitulate just before we get into the next halving. And just before we get back into quantitative easing,” analyst Benjamin stated.