Ethereum price is back above the $3,800 price level on the back of a 5% gain in the last 24 hours. Interestingly, this increase in the price of Ethereum a Simultaneous increase in the performance of ETH against BTC In recent weeks.
According to crypto analyst Benjamin Cowen, this latest price action could actually be the early stages of Ethereum’s price rally against Bitcoin over the next six to 12 months.
Analyzing the ETH/BTC pair
The last two weeks was highlighted by harmony Bitcoin price is below the $99,000 price level as investors continue to wait for a break above $100,000. Amidst this Bitcoin price correction, the price of Ethereum started a significant rally from the $3,340 level on November 26. This rally allowed Ethereum and many other altcoins to outperform Bitcoin, leading to speculation that the crypto market is now The early stages of the long-awaited altcoin season.
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According to technical analysis From popular crypto analyst Benjamin Cowen, this could be the first recovery phase for the ETH/BTC pair. Taking to social media platform X, Cowen commented that the ETH/BTC pair recently bottomed out at 0.03187, closely matching his previously predicted worst-case scenario of 0.03.
Back in 2023, Coven had predicted a substantial decline In the ETH/BTC pair. At that time, the ETH/BTC pair was trading around 0.066, but he predicted that it could fall by more than 45% at that time. Interestingly, this prediction has come true as Ethereum’s valuation relative to Bitcoin has been on the decline since the last quarter of 2023 until recent weeks.
Fast forward to December 2024; Ethereum has recovered and is performing well against Bitcoin. Specifically, the ETH/BTC pair is currently around 0.0396, up 24% from the 2024 low of 0.03187. This resurgence prompted Cowen to re-examine the ETH/BTC pair, and his outlook has turned positive.
Historical trends suggest a seasonal rebound
Cowen highlighted Ethereum’s historical trends, noting that the ETH/BTC pair often gains momentum in December or January. If this trend continues and the ETH/BTC pair gains momentum in December, Ethereum may already be in the early stages of a recovery. However, if it were to wait until January, a sweep of the old lows at 0.03187 and possibly 0.03 remains possible but increasingly unlikely. He added that within a few months, the exact bottom may be irrelevant.
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Looking ahead, Cowen estimates a 6-12 month horizon for significant gains in the ETH/BTC pair. Such a move would be highlighted by the Bitcoin price and the Ethereum price outperforming an entire altcoin season.
At the time of writing, Ethereum is trading at $3,845. Bitcoin on the other hand, Finally the above is broken $100,000 mark and is currently trading at $103,000. The ETH/BTC pair is currently trading at 0.03755.
Featured image created with Dall.E, chart from Tradingview.com
