Popular crypto analyst Benjamin CowenHe noted that investors are closely monitoring a few signals that could indicate risk appetite for altcoins.
In a new interview with InvestAnswers, Cowen explained that he did not add altcoins to his assets in the last three months due to the current macroeconomic conditions.
“I think when Bitcoin is in a downtrend and every uptrend results in rapid selling and your dollar goes up, your stocks go down, the gold trend goes up, the Fed is fighting inflation and tipping the balance sheet. In these conflicts in Europe, it’s pretty hard for me to look at it and say, ‘I want to go and buy an altcoin’.”
bitcoinReviewing , Cowen thinks that BTC could potentially reach bottom levels in the coming months.
“I predicted what would happen in the second half of 2019. I saw what happened in 2018. So I saw what happened in 2014… So what I’m looking for is from a mathematical perspective, understanding the news, we’ve seen one of these before, where big bottoms tend to happen a year after one-year ROI peaks and one-year ROI actually peaks in March 2021 or We can see it peaking a few months ago or later.
If Bitcoin has another leg, and we see some kind of bottoming in the one-year ROI here in the next month or two, then I’ll be much more optimistic about Bitcoin, just from a purely mathematical perspective.”
Regarding when Cowen plans to jump on the altcoin train, he stated that he will wait for Bitcoin and the stock market to give the green light to do so.
“Right now, all altcoin I’m still a little nervous in the market. Again for me, I’ll wait until Bitcoin and stablecoins either have a clearer capitulation to return to some of the more historic levels, or until Bitcoin shows strength and actually starts to recover above promise like its 20-week moving average. I can do that and go back to risk assets if the stock starts to rise.”
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, KoinFinans and the author of this content cannot be held responsible for personal investment decisions.