Bitcoin (BTC) Faces Historical September Slump: Will This Year Be Different?
- Bitcoin’s price struggles with renewed volatility, echoing its past as September remains the worst-performing month, with returns dropping by up to 19%.
- Factors like interest rate cuts and breaking key resistance levels could change the trajectory, offering hope despite market uncertainties.
As previously predicted in the recent CNF update, Bitcoin Crash: Real Reasons Why BTC Price Plummeted to $59,000, it was assumed the price would either go to $50,000 or $70,000. According to recent market reports, Bitcoin is experiencing renewed volatility, with its price struggling around $59,144 after a brief rally to $73,750.07. The price decreased by 0.08% in the past day and 2.65% in the past week. See BTC price chart below.
Furthermore, according to Coinglass data, September has seen returns drop by as much as 19%, marking it as Bitcoin’s worst-performing month, as tweeted on The Moon X account.
September is usually the worst-performing month for #Bitcoin. Is this time going to be any different?
pic.twitter.com/fPchuZe3cl
— The Moon (@TheMoonCarl) August 28, 2024
Will This Year Be Different?
Several factors contributed to the latest market downturn, including a broader crypto market crash following NVIDIA’s unexpectedly strong earnings report, fears surrounding upcoming US inflation data, and other market disruptions like the arrest of Telegram’s CEO Pavel Durov and ongoing controversies involving Binance.
These events triggered a significant liquidation, wiping out $320 million in crypto assets and shifting market sentiment from greed to fear. Therefore, if similar factors occur, it could improve BTC price performance in the market this year.
Despite the historical trend of losses, some optimism remains, driven by potential interest rate cuts that could buoy the price. Technical indicators also suggest that breaking the resistance level at $62,727 might lead to an uptrend. However, the market remains on edge as traders brace for a potentially volatile month.
