Benjamin Cowen is a well-regarded crypto analyst, using a historically accurate indicator he has found it likely that Bitcoin has hit its bottom or is very close to doing so.
- Cowen was recently featured on Kitco News where he discussed his use of the metric. “One of the interesting things about this chart is that historically, Bitcoin does not bottom until after they cross,” he stated.
- The indicator Cowen used is the Bitcoin Percentage Of Supply In Profit And Loss. This indicates how many Bitcoins are at a profit or loss for their holders. Looking at the chart from a widened perspective Cowen shows how this metric has accompanied tops and bottoms over the long term.
- Cowen added that they have recently just crossed each other and how the bottom typically occurs after they cross. “When it comes up here, that’s generally the time where you want to scale out when we’re continuing to push those new all-time highs so to me this is an indicator that would suggest that if we did get another leg down there’s a lot of evidence that could be the major bottom,” he added.
See Related: Bullish On Bitcoin, It’s Trading At A Discount – Bloomberg Intelligence
