Bitcoin (BTC), Golden Cross Appears... Benjamin Cowen Warns "10-15% Correction is Coming"

▲ Bitcoin (BTC)/ ChatGPT generated image

Bitcoin (BTC) has formed a golden cross, a representative bullish signal, but an analysis suggests that if past cycles are applied, it could first drop to $70,000-$75,000.

According to Benzinga on September 16 (local time), cryptocurrency analyst Benjamin Cowen recently suggested in a YouTube video that Bitcoin could experience a 10-15% correction after forming a golden cross. Cowen explained that in past major cycles, a correction of at least 10-15% always followed a golden cross, regardless of whether it was a bull or bear market.

There were no exceptions even when a bottom had already been formed. In 2019, Bitcoin fell 15% in just 3-4 days after the golden cross. In 2023, it dropped 12% for about 10 days before and after the golden cross. However, in both cases, after holding the correction low, it rose again to record new highs.

Cowen calculated the correction range based on the recently formed short-term high of approximately $82,000. A 10% drop from this would reach $73,000-$74,000, and a 15% drop would reach approximately $70,000. He suggested $70,000-$75,000 as a range consistent with movements after past golden crosses.

For comparison to gauge the possibility of a larger decline, he cited 2014 and 2015. At that time, after the golden cross, there was also an initial 10-15% correction, but the bottom was not confirmed, leading to a subsequent drop of 50-60%. Cowen has been comparing Bitcoin's movement with the US Institute for Supply Management (ISM) index from 2014 since early 2026. He explained that this year too, while ISM rose, Bitcoin fell, showing a similar trend to 2014.

Cowen emphasized that the strength of the subsequent rebound is more important than whether it corrects to $70,000-$75,000. He analyzed that if it rebounds quickly in that range and surpasses the previous high, it supports a bullish trend, but if the high after the rebound is lower, it could be seen as a sign that a bottom has not yet been formed. In 2019 and 2023, after the correction ended, it recovered to a new short-term high in about a week.

[Article Key Summary]

-Benjamin Cowen suggested a potential drop to $70,000-$75,000, stating that every Bitcoin golden cross in the past has been followed by a correction of at least 10-15%.

-In 2019, Bitcoin recorded a new high after a 15% correction following the golden cross, and in 2023, after a 12% correction.

-Cowen analyzed that whether Bitcoin quickly recovers its previous high after a correction is a key signal that will determine the continuation of the bullish trend or the possibility of further decline.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*