Analyst Benjamin Cowen Warns Bitcoin Could Repeat Dot Com Crash Pattern As Ominous Signal Flashes

Popular crypto analyst Benjamin Cowen is warning Bitcoin (BTC) traders that the top crypto asset is currently flashing an ominous indicator.

In a new YouTube video, Cowen tells his 784,000 subscribers that Bitcoin is experiencing a weekly death cross for the first time ever.

A dead cross occurs when a short-term moving average crosses below a long-term moving average, reflecting price weakness.

The analyst notes that BTC’s 50-week simple moving average (SMA) is at $24,678 and its 200-week SMA is now at $24,999.

says Cowen,

“Normally in bear markets we’re not below the 200-week SMA, like hardly at all. And if [Bitcoin] is, it is a relatively short period. It’s more or less just these weeks for the most part. Now, in this bear market, we’ve been mostly below it since June, mostly…

Now [BTC] sort of come back to [the 200-week SMA]but we have not definitively broken through the level that historically held as support.”

Cowen says the worst-case scenario for Bitcoin is that it mimics the Nasdaq during the dot-com crash of 2000-2002.

“You get a 77% pullback, followed by a 60% rally up to the 50-week SMA, and then followed by a slow bleed into the last low. But notice that even Nadaq, once you got it, had it actually kind of a local double top, where it went up to 50 weeks, came down again, hovered for a … month, came back up, and then came down. So that’s actually what the Nasdaq did way back then, so maybe be on the lookout for it.”

BTC is trading at $21,721 at the time of writing.

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