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Bitcoin closed August 2024 with its second-worst monthly performance of the year, registering an 8.6% decline. This loss trails only April’s dramatic 14.76% plunge. As this red monthly close alarms investors, the crypto community holds mixed expectations for September. While some anticipate a Bitcoin price recovery, others foresee continued bearish momentum, with one analyst predicting a major drop in price.
Will September See Another Bitcoin Price Decline?
A crypto analyst, known as @thedefivillian on X (formerly Twitter), has hinted at a potential price crash for Bitcoin this September. According to the analyst, the last two months have experienced significant price drops for the leading cryptocurrency, and September is likely to follow the same pattern.
In particular, the analyst points out that the 5th day of each recent month has triggered a Bitcoin price crash. On July 5, the price plummeted below $55,000, and on August 5, it fell further, dipping below $50,000.
With September’s bearish trend looming, the analyst suggests that another crash could be imminent. “September 5 is approaching fast. Are you ready for another traumatic event?” the X post ominously states.
If the trend continues, Bitcoin might experience another significant crash on September 5. Based on recent patterns, where each crash has been more severe than the previous one, a potential drop on September 5 could drive the BTC price below $40,000.
A Historically Bearish Month
Historically, September has been a notably bearish month for Bitcoin. This sentiment is further supported by the fact that the month has already started in the red, with BTC struggling to reclaim the $60,000 level, as per data from Coinglass.
September stands out as one of the most bearish months on average, being one of the only two months with consistent negative returns in both average and median metrics. Over the past 12 years, September has closed negative for Bitcoin nine times. If this trend persists, September 2024 might be even more challenging than August.
However, there is hope for Bitcoin investors. Historically, September has often been the final bearish month before the onset of a bull market. This suggests that investors might only have to endure one more month of losses before a potential bull run begins.
