• Benjamin Cowen has predicted a Bitcoin price rally, the analyst argues that the asset could rebound to the $40,000 level. 
  • Cowen believes the 200-day simple moving average is an effective indicator for predicting a Bitcoin price rally.
  • Analysts evaluated the possibility of Bitcoin price rebounding from the 200-day moving average. 

Bitcoin price could rebound from its recent slump and make a comeback assuming it does not get rejected at a key level, Benjamin Cowen, a leading analyst with a bullish outlook on Bitcoin price, has said. 

Bitcoin price could climb to 200-day moving average level

Benjamin Cowen, CEO of Into The Cryptoverse and a leading cryptocurrency analyst recently told his 748,000 YouTube subscribers that Bitcoin price could recover from its recent drop. The analyst has identified the 200-day simple moving average (SMA) as an effective indicator of Bitcoin’s price trend. 

Cowen argues that when Bitcoin price breaks below its 200-day moving average it doesn’t necessarily mean it will enter a protracted bear trend. Normally there is a relief rally back up to the 200 SMA which it then breaks above and carries on climbing. It is only on those occasions when it retests the SMA and gets rejected that it continues falling. 

Bitcoin price continues to hold bullish potential, therefore, according to Cowen who expects Bitcoin’s price to return to the level of the SMA at $41,700. He also sees $40,000 as a significant level and critical milestone for Bitcoin. 

By mid-June 2022, the analyst expects Bitcoin price to make a comeback to the $40,000 level. Soon after it should reach the 200-day moving average which is at about $41,700, but it is falling swiftly. 

BTC-USD price chart

BTC-USD price chart

Two key Bitcoin price levels, 50-week and 200-week moving averages

Rekt Capital, a pseudonymous cryptocurrency analyst has identified two key levels for Bitcoin price. The analyst has identified a curious relationship between the 50-week EMA (blue) and 200-week MA (orange). 

BTC-USD price chart

BTC-USD price chart

Rekt argues that after the BTC price has broken below its 50 WEMA and then retested the EMA but failed to break above it again, it usually marks the beginning of a sell-off down to the 200 WEMA. At that level, however, it eventually finds a floor and begins a new bull run. 

Historically, this has happened on three previous occasions and this year could be the fourth instance of that phenomenon. In 2015, Bitcoin price was rejected from the 50-week EMA and rebounded from the 200-week moving average. The first attempt to rebound was a solid one, however a macro price reversal followed. 

The second instance was in 2018-19 when Bitcoin price witnessed a lengthy consolidation period after getting rejected from the 50-week EMA. Bitcoin rebounded and retested the 200-week moving average before starting a new bull run. 

Similar to previous years, in 2020 Bitcoin price tested the 50-week exponential moving average before lifting off into a bull run. 

Much like previous years, in 2022 Bitcoin price consolidated below the 50 WEMA and then crashed towards the 200-week moving average. Based on the repetitive or cyclical nature of the Bitcoin price trend, the same pattern could repeat itself and the analyst argues the asset could begin a bull run soon. 

FXStreet analysts have identified an upcoming price rally in Tron and predicted an explosive breakout in the altcoin


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Solana price hints at a 50% upswing under these specific conditions

Solana price hints at a 50% upswing under these specific conditions

Solana price shows an interesting setup as it tries to overcome a stiff resistance level. The fifth attempt to overcome hurdles will likely be successful due to multiple bullish confluences. Solana price has been on a clear uptrend since producing the June 14 swing low at $25.76.

More Solana news

Dogecoin price to provide a buying opportunity before exploding 35%

Dogecoin price to provide a buying opportunity before exploding 35%

Dogecoin price sees a slow decline in bullish momentum as a major hurdle puts an end to its explosive move. A pullback is emerging for DOGE and is likely an opportunity that will allow bulls to recuperate and prepare for the next rally.

More Dogecoin news

Former Goldman Sachs banker explains why Wall Street gets Bitcoin wrong

Former Goldman Sachs banker explains why Wall Street gets Bitcoin wrong

According to John Haar, who used to count himself within the ranks of the traditional finance field, a fundamental understanding of "sound money" is preventing Wall Street from embracing Bitcoin. Haar’s views were expressed in an essay on Aug. 14.

More Bitcoin news

Avalanche Price Prediction: A sharp decline in the making?

Avalanche Price Prediction: A sharp decline in the making?

Avalanche price shows a potential sell-off underway, and key levels have been identified. Avalanche price could be depicting early evidence of liquidation underway as the technicals show subtle bearish cues. AVAX price has rallied 90% since July 1st, printing a new monthly high.

More Avalanche News

Bitcoin: If bulls lose control here, BTC could revisit $21,000

Bitcoin: If bulls lose control here, BTC could revisit $21,000

Bitcoin price shows an interesting setup that could reveal its next move. On closer inspection,  its technicals support a bearish outlook for the leading crypto.  

Read full analysis