Cryptocurrency analyst Benjamin Cowen is sounding the alarm on Ethereum (ETH), cautioning that its price could experience a significant decline. Cowen, who has a following of 801,000 subscribers on YouTube, explains that Ethereum has fallen below the bull market support band (BMSB). The BMSB is an indicator that combines a 20-week simple moving average and a 21-week exponential moving average to determine whether an asset is in a bullish or bearish state.

Cowen points out that Ethereum’s drop below the BMSB is a rare occurrence, with the last instance happening approximately 30 weeks ago. He adds, “So it’s been quite a while, and now we have closed below it once again.” The analyst highlights that in two previous instances when Ethereum closed below the BMSB, the price of the cryptocurrency plummeted by around 50%.

If history were to repeat itself, Cowen predicts that Ethereum could drop to around $1,400 from its current price of $2,902. He does note, however, that while he expects the Ethereum/Bitcoin (ETH/BTC) pair to bottom out in the coming weeks, the Ethereum/US dollar (ETH/USD) pair may take longer to reach its bottom.

It’s important to note that the opinions expressed by Cowen are not investment advice, and investors should conduct their own research before making any high-risk investments. Crypto transfers and trades carry their own risks, and any losses incurred are the responsibility of the individual. The Daily Hodl, where the article is published, does not endorse the buying or selling of cryptocurrencies and is not an investment advisor.