Benjamin Cowen shared his latest view on Bitcoin’s price action and the importance of the Bull Market Support Band (20-week SMA and 21-week EMA).
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He believes recent rallies are temporary and will likely be sold off.
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Based on past cycles, Bitcoin usually revisits this support band ($107k) in September during post-halving years. So, he expects Bitcoin to touch it within the next few weeks.
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If bulls defend the band, the market could reset for another move up later in the year, possibly October.
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If Bitcoin falls below the band, the next line of defense is the 50-week moving average ($95k). Historically, two weekly closes below that level often signal the end of a cycle and lead to big drops.
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Right now, Cowen sees the local top already in, and the short-term outlook points down toward support before the cycle continues.
In short: Bitcoin is likely heading for a healthy test of its bull market support band soon. That test will be key in showing if the trend remains strong or if deeper corrections could follow.
