Well-known analyst Benjamin Cowen has a warning about Bitcoin (BTC) as it nears its all-time high.
In a recent video for his 820,000 YouTube subscribers, Cowen shared his thoughts. He believes Bitcoin might turn bearish about a month after the upcoming U.S. general election.
He said, “I want to highlight one possible scenario. After the election, there will be bold predictions about what’s next. I think we could see a drop in early December that might scare some investors. This could happen around the time of the labor market report, which is scheduled for December 6th.”
Cowen estimates that if this bearish scenario happens, Bitcoin could drop between 12% and 46% from its current price. He’s unsure if this drop will back-test around $65,000 before rising again in 2025 or if it will fall to about $40,000 before bouncing back.
As of now, Bitcoin is trading at $73,813, down about 2% from its all-time high of around $75,400. Cowen believes that if a correction occurs in December, it would likely be temporary.
He explained, “I can see a situation where, after the political outcomes are settled, if Bitcoin doesn’t rise right away and starts to drop, people might think the cycle is over. But it could just be a soft landing scenario. You might see Bitcoin dip and then rally to new all-time highs in 2025.”