Bitcoin’s September Slump: Can History Repeat with an October Surge?
- Historical data shows Bitcoin’s 7% September drop often precedes significant October rallies, up to 47%.
- Bitcoin is currently down 9% in September, with key support levels at $53,800 and $54,000.
- Despite market uncertainty, Bitcoin holders show long-term confidence with 75% in profit and rising transaction activity.
Crypto analyst Rekt Capital highlights Bitcoin’s ( BTC ) past rebounds following September declines. In September 2017, Bitcoin dipped 7%, only to skyrocket 47% in October. Similarly, in September 2020, a 7% dip preceded a 27% October rally. Even in 2021, a 7% pullback paved the way for a 39% surge the following month. This September, Bitcoin is down 9%, raising questions about its potential path forward.
#BTC
— Rekt Capital (@rektcapital) September 6, 2024
When Bitcoin retraced -7% in September in 2017…
Bitcoin rallied +47% in the following October
When BTC retraced -7% in September in 2020…
BTC rallied +27% in the following October
When BTC retraced -7% in September in 2021…
BTC rallied +39% in the following… https://t.co/sBgeS2Lafi pic.twitter.com/5N3T9wwatG
Bitcoin is trading at $53,678.00 , with a 24-hour trading volume of $48.79 billion. Over the past 24 hours, Bitcoin has decreased by 4.29%. The market capitalization is at $1.06 trillion, with a circulating supply of 19,750,603 BTC and a maximum supply of 21,000,000 BTC.
Key Support Levels and Market Signals
Bitcoin’s chart reveals significant support levels. The primary one sits around $53,800, where the price has recently found footing after a decline. Another potential support zone is near $54,000, though this level recently failed to hold.
Source: CoinMarketCapThe $55,000 level also struggled to provide support, indicating continued selling pressure. As a result, $53,800 is considered a crucial support level. A drop below this could signal further downward movement.
Gold futures have dipped, while the U.S. Dollar Index has ticked slightly higher, pointing to a stronger dollar. Bitcoin’s dominance has decreased marginally, and Bitcoin exchange balances are lower, suggesting a trend towards long-term holding. Futures volume has surged by over 60%, accompanied by a spike in liquidations, suggesting heightened market volatility.
Source: CoinglassFunding rates across exchanges are mixed, with Binance traders leaning bullish. Additionally, the Crypto Fear & Greed Index reflects extreme fear, indicating cautious investor behavior. Despite overall market uncertainty, traders on Binance and OKX are predominantly long on Bitcoin.
Token Analysis and Investor Activity
Bitcoin’s token summary shows strong profitability, with 75% of holders currently in profit. Large holders control 12% of the supply, reflecting a decentralized distribution. The token’s price is strongly correlated with Bitcoin, making it dependent on Bitcoin’s movements. Most holders (71%) have held the token for over a year, indicating long-term confidence.
Source: IntoTheBlockHigh-value transactions over the past week totaled $68.28 billion, with a slight majority of activity in Eastern markets (53%). A net outflow of $598.43 million from exchanges suggests that holders are moving tokens off exchanges, potentially indicating bullish sentiment.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Wall Street Traders Dump DOGE & SHIB for New Rival GEGG Currently at $0.00015
GoodEgg (GEGG) Presale Soars 77% as Dogecoin Whales Back New AI Dating App at Pre-Launch
Ethereum Price Nosedives Over 5%, Pressure Mounts on Bulls
Bitcoin Price Flashes Downside Break: Will Bears Take Over?