Analyst Predicts Bitcoin’s Downside Trajectory in September
According to Benjamin Cowen, an analyst and founder of Into The Cryptoverse, Bitcoin (BTC) is expected continuation its downward trend in September leading up to next year’s halving. By comparing Bitcoin’s performance throughout the years, Cowen predicts doom for the world’s most valuable cryptocurrency.
Bitcoin’s Recent Performance and Price Movements
As of now currently worth around $25,860, Bitcoin (BTC) has been under pressure in recent weeks. After a surge of almost 60% from November 2022 lows, the coin retraced from its July 2023 peaks of around $31,800.
September Outlook for Bitcoin Bulls
Following an impressive performance in July, Bitcoin (BTC) experienced a bearish trend in August. By the end of the 30 days, it had dropped approximately 20% from its highs in July 203. A whole lot of scare was triggered on August 17 due to losses across the board.
Cowen’s analysis outlines that Bitcoin (BTC) lost 11.31% in August, slightly lower than the average loss of 11.71% in the past two pre-halving years. Nonetheless, the outlook for September looks even worse according to the analyst.
Historical Trends and Bitcoin’s Probable Decline
Based on historical data, September tends to be a 30 days of contraction before halving, with an average return of -17.29% before Bitcoin (BTC) halves. If this trend continues, Bitcoin (BTC) may fall to $21,400 by the end of September. Nonetheless, if we consider Bitcoin’s performance in the last two halvings, which had an average return of -5.66%, the coin could fall to around $24,400 by the end of the month.
Bitcoin’s Current Situation
Although while Bitcoin (BTC) supporters remain optimistic in the medium to long term, the recent dump on August 17 pushed the coin to new lows. Despite the fact that there has been a slight recovery in the Second half of August and the first week of September, it is clear that Bitcoin (BTC) still faces challenges.
Looking at the daily chart, Bitcoin (BTC) prices are still within the bearish candlestick of August 17, indicating the present price action. In addition, trading volumes remain relatively low regardless of the higher prices.
Hot Take: Probable Recovery with SEC’s Approval of Bitcoin (BTC) ETF
In hopes of a recovery, supporters are relying on the approval of a spot Bitcoin (BTC) Exchange-Traded Fund (ETF) by the Securities and Exchange Commission (SEC). This derivative product would allow institutions to win exposure to Bitcoin, potentially driving demand and boosting its price.
Newt Bettec emerges as an intellectual voyager at the intersection of crypto analysis, meticulous research, and editorial mastery. Within the digital labyrinth of cryptocurrencies, Newt’s intellect traverses intricate corridors, resonating with seekers of diverse inclinations. His talent for unraveling complex threads of crypto intricacies seamlessly blends with his editorial finesse, transmuting intricacy into an engaging tapestry of understanding.