As August attracts to an in depth with simply 4 days left, bitcoin has slipped by 2.74% this month, leaving market watchers desperate to see if September will carry higher information. Historical past hasn’t been sort to bitcoin in September; over the previous 11 years, it has ended the month on a downward development 72.73% of the time.
As September Approaches, Bitcoin Faces a Robust Historic Pattern
With September simply across the nook—kicking off in lower than every week—bitcoin (BTC) is presently down 2.74% as of Aug. 27, 2024. August is usually a quiet month for BTC, so this decline isn’t out of the unusual. But when historical past is any information, September won’t supply a lot reduction both, as bitcoin has closed the month within the purple eight instances out of the final 11 years.
Even throughout the bullish years of 2013, 2017, and 2021, September was tough for bitcoin. Probably the most difficult September was in 2014 when BTC plummeted by 19.01%. Nonetheless, there’s an opportunity that this September may buck the development. One motive for optimism is the upcoming U.S. election, which is simply across the nook.
The 2024 election has woven itself into bitcoin’s bull market cycle this yr, with many speculating that the outcomes may affect BTC’s value, for higher or worse. One other potential catalyst for a value rebound in September is the opportunity of a U.S. Federal Reserve charge reduce throughout the Federal Open Market Committee (FOMC) assembly that month.
A charge reduce may increase BTC costs, relying on whether or not it’s a 25 foundation level (bps) or 50bps discount. Historically, October has been a robust month for bitcoin, with costs rising in 9 of the previous 11 years. October has rewarded merchants handsomely, with positive aspects of 60.79% in 2013, 47.81% in 2017, and 39.93% in 2021.
Whereas previous tendencies recommend that September may be difficult for bitcoin, the dynamics of 2024, with elements just like the upcoming U.S. election and potential Federal Reserve charge cuts, may result in sudden outcomes. Market individuals will probably keep vigilant, as historic patterns might not essentially dictate the trajectory of bitcoin’s value within the coming weeks.
