- Crypto trader and analyst Benjamin Cowen believes that ADA will continue to weaken against BTC.
- According to Cowen, ADA/BTC could drop to 400 satoshis by the end of the year.
- At press time, both BTC and ADA were down after printing 24-hour losses.
In his latest crypto market analysis, crypto trader and analyst Benjamin Cowen predicted that altcoins will continue to “bleed” despite Bitcoin (BTC) standing strong. In particular, the trader believes that Cardano (ADA) may drop to as low as 400 satoshis on the ADA/BTC chart as the market enters the 3rd quarter of 2023.
Cowen’s bearish outlook on ADA comes after the altcoin printed a new low at around $0.220 for this latest bear cycle. He also cautioned traders against the current BTC valuation of ADA, which is approximately 1,000 satoshis. According to Cowen, a continued decline in the BTC valuation of ADA could see it go to 851 satoshis in the coming months.
The main reason he believes that this bearish thesis will play out on the ADA/BTC chart is because ADA’s BTC valuation is displaying nearly the exact trend seen 4 years ago, which ultimately resulted in ADA reaching 400 satoshis back then. Cowen stated that BTC’s market dominance may rally in the coming weeks as well, which will be to the detriment of altcoins.
Should the trader’s bearish thesis be validated, he forecasts an approximate 60% drop in ADA’s price in the coming months. He concluded his analysis by referring to ADA as a higher-risk asset when compared to BTC, which he expects to outperform ADA for the rest of the year.
While the past weekend has been turbulent for most cryptocurrencies in the market, Bitcoin (BTC) still managed to outperform the Ethereum-killer Cardano (ADA) over the past 24 hours. Both tokens were in the red at press time, but BTC was still able to reduce its losses to only 0.19% while ADA was down by 1.06%.
As a result, BTC was worth about $26,544.65 and ADA was trading hands at $0.2663. Meanwhile, despite its price drop, BTC’s weekly performance was still comfortably in the green at more than 3%. ADA’s price drop, on the other hand, dragged its weekly performance down to around +1.72%.
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