The current multi-month upward trend in the price of Ethereum began in June 2022. Despite rising after a network upgrade, Ethereum’s price may fall, according to famous crypto analyst Benjamin Cowen. In a fresh strategy session, Cowen warned that ETH’s price, which is currently $1,922, may fall by more than 57%.
According to Cowen, ETH will eventually return “home,” as he refers to the fair-value logarithmic regression trendline using “non-bubble data.”
He said that the smart contract platform would probably revisit lows within the upper and lower ranges of the logarithmic regression chart, despite the fact that ETH had rebounded and traded at the $2,000 level after the most recent Shapella network upgrade.
The fair-value logarithmic regression trendline, according to Cowen, is currently at about $8,000. He adds that there is also a chance that Ethereum will follow a similar pattern to what happened in 2019 and 2020, when ETH fell below the fair-value logarithmic regression trendline.
“Where is home? If you look back to where home was back in the summer of 2022 it was around $600. Now, it’s around $800. Okay, but also do note that when we were over here [in 2019 and 2020] we actually went below that fair value, which is that middle line. And the lower bound on the lower regression trendline is now at $574.”
If ETH can obtain it, he believes that Ethereum’s deep value zone will be between $400 and $600. Of course, there is no assurance that it will reach those heights. However, he said that this could be a potential outcome to at least take into consideration if we return to $700 or $800.
For Ethereum and it’s price, the Shanghai Upgrade had a major impact. Staker coins may now be removed from the network’s proof-of-stake platform at any time.
The network has also been improved and is capable of performing at a greater level. Consequently, ETH bulls are currently optimistic.
