Bitcoin worryingly begins bearish September

0

Last Updated on 6 November 2023 by CryptoTips.eu

The euphoria after Grayscale’s positive lawsuit against the SEC last week was flushed on Friday after it emerged that September, traditionally a very bad month for Bitcoin, exchanges and crypto, had begun. Investors are nervously awaiting this month, which will show whether the Federal Reserve is finally done with its rate hikes or whether inflation is still untamed.

US inflation data will be published on 13 September.

Advertentie.

Bearish September

The old adage says that you should sell in May but remember to come back in September. Even for Bitcoin this has proven to be true over the years, at least when it comes to Bitcoin’s price in September. 

Even in 2021, during the final upward leg of the last bull cycle, bitcoin lost 7% in September only to gain 40% the following month.

Noelle Acheson, author of Crypto is Macro Now and former head of market insights at Genesis, explained.

Times are different now, however. In September 2021, bond yields were around 1.1%, the S&P 500 was up a whopping 40% year-to-date, risk sentiment was high and BTC had already gained over 60% since early January.

In previous years, September was traditionally a very bearish month for the largest digital coin. In fact, ever since 2015 and 2016, there hasn’t been a single year where Bitcoin hasn’t fallen in September. So it will be important to note where Bitcoin (and also the other major crypto coins) find support this month.

Bullish October

That being said, whoever can buy Bitcoin at a low price this month is doing a very good deal historically as October normally offers some of the best returns for Bitcoin. You therefore better pay close attention to drops this month because buying it a rock bottom prices can offer a nice return.

Lastly, we can also start to look forward to the lawsuit against Sam Bankman-Fried and his defunct platform FTX. On October 3rd to be exact, proceedings will begin.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
View all posts