Investors have not been encouraged by Bitcoin’s gains in September. Since its inception, September has been very bearish for Bitcoin. This is why multiple falls began to occur. It continues to track the monthly trend as it draws to an end. It is unlikely that there will be any major recovery. Single-digit gains might be all it can manage.
September is Deadly
Unfortunately, September was not kind to digital assets in the crypto market. Since the start of September, most crypto assets have been in turmoil due to crashes and dips.
The September trend has had a significant impact on Bitcoin. According to data, bitcoin has seen only single-digit gains for most of September. The gains for cryptocurrency currently sit at 1%. However, with bitcoin’s price falling in line with its bear trend, it is possible that the currency may drop below this level.
BTC declines in September | Source: Arcane Research
These fates are not unique to Bitcoin. Some other indexes like the Large Cap and Small Cap Indexes are also suffering worse. Although the Small Cap Index was somewhat lower than bitcoin, its September loss of -1% was less than the Large Cap Index’s fall of -2%.
Mid Cap Index only saw some encouraging returns. The Mid Cap Index performed 300% more than bitcoin with gains of around 4% in this month. This makes it the most successful index so far.
Bitcoin Doesn’t Get Better
History has shown that September was historically bearish. The events of this month only reinforced that view. Bitcoin’s short-term prospects are not looking good with the CPI release and FOMC meeting concluding with another rise in interest rates.
BTC remains volatile | Source: BTCUSD on TradingView.com
It is much better than expected that the current single-digit gains seen by the digital asset have resulted in higher than expected. Despite this, it is still possible that the digital asset’s price will close below its current value, given recent market sell-offs.
Right now, Bitcoin has a very low level of $19,000. However, it is experiencing significant resistance. BTC has enjoyed a strong week, and this could translate into a higher value. To be honest, though, this is not enough to ensure that bitcoin ends the month with any significant gains.
Featured Image from Analytics Insight. Arcane Research charts and TradingView.com charts.
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