The post Bitcoin Usually Suffers in September—But ‘Uptober’ Is Right Around the Corner appeared on BitcoinEthereumNews.com.

September has been historically a difficult month for U.S. stocks. And when it comes to the Bitcoin market, the so-called “September Effect” could be just as prevalent—and the performance of the price of BTC this first week lends credence to the theory. The Wall Street phenomenon has been well documented for nearly a century. Since 1929, the S&P 500 has declined in September 55% of the time, according to Open Markets, “by far the most out of any month, and the only individual month that has declined at least 50% of the time over the last 94 years.” The analysis cites traders’ vacation schedules and financial firms’ fiscal calendars as potential factors. Bitcoin’s track record is comparatively short. However, the market has experienced noticeable weakness during the first month of the fall. Since 2013, Bitcoin’s price has declined in September eight times, according to CoinGlass data. The asset’s price has started this month with a more than 8% slide, outpacing an average drop of 5% over the past decade. September is one of only two months to average losses since 2013, with June the only other negative month with -0.35% average price movement during that span. September is by far Bitcoin’s worst month over the last decade, on average. Even though Bitcoin has exited September green only three times since 2013, Jake Ostrovskis, an OTC trader at the market maker Wintermute, told Decrypt that the red trend is far from gospel. “Whilst the market likes to focus on the ‘September Effect’ given its historical performance, the small sample size makes it difficult to use as a leading indicator,” he said, pointing out that Bitcoin returned nearly 4% last September. Ostrovskis pointed to several other factors driving Bitcoin’s price action in the short term that arguably hold more importance. He said…

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Filed under: News - @ September 7, 2024 3:25 pm