One of the closely followed names of the crypto world Benjamin Cowenshared a timeline of when Ethereum (ETH) could return to its all-time high of $4865.
Sharing his views in a new video published on his YouTube channel, Cowen stated that Ethereum has been trading in a wide range of $2000 to $4000 since the beginning of 2021.
The crypto analyst argues that Ethereum’s extended consolidation is not out of the ordinary.
“Ethereum (ETH) You should not forget that this volatility in the price is quite normal for an asset class that can provide an average of 40 times returns in a year. If it’s possible to win 40x in a year and we need to consolidate for a while, that’s normal and often these consolidation phases can take a long time.”
Cowen is referring to Ethereum’s massive rally from March 2020 to May 2021, when the leading smart contract platform surged from around $100 to over $4000.
The crypto strategist also thinks that Ethereum’s current price action is similar to the market structure in 2016, when the second-largest cryptocurrency consolidated for almost a year before launching a parabolic surge.
Using Ethereum’s 2016 market structure as a roadmap for the period ahead, Cowen envisions a rally to ETH’s all-time high before the first half of 2022 ends.
“Quantitatively, it is still possible to see many similarities between what happened with Ethereum back then and what is happening today. Now I have to say that even if this proves to be just a long side consolidation, I don’t expect Ethereum to make a 200x move from this point because that’s how it did last time. It went from $7 to $1400 in a relatively short time. I don’t expect him to do this again.
But what I’m waiting for is, if it’s going to play, what does that mean? So we still have a challenge ahead of us. If it’s going to take until May for us to get back to an all-time high, which is, I mean, a lot of people at this point. EthereumIt will welcome the return to all-time highs by May.”
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