September Blues
Bitcoin investors may need to hold on tight as September historically brings turbulence to the cryptocurrency market. An analysis of Bitcoin's monthly returns reveals that the digital currency has ended September in the red more often than not over the past 13 years. Crypto analyst Will Clemente points out that September has been particularly unfavorable, with only two positive-returning months in six years.
Warnings on the Horizon
September is not just known for its negative returns; there are other indicators pointing to a rocky road ahead. Monitoring resource Material Indicators cautions that a significant retracement of gains made after Grayscale's victory over the SEC is likely. Volatility may continue to plague Bitcoin in the near future.
On the other hand, Bloomberg ETF analyst James Seyffart advises investors to look beyond September. He suggests keeping an eye on mid-October, specifically October 16th, as the next potential turning point. This date marks the second decision deadline for the SEC regarding seven pending spot Bitcoin ETFs.
The ETF Countdown
In October, the SEC will make crucial decisions on ETFs from major players such as BlackRock, Bitwise, Valkyrie, WisdomTree, VanEck, iShares, and Invesco. Seyffart emphasizes that these deadlines are critical, as they represent the last chance for ETF approvals in 2023. He reminds investors that delays in the approval process were expected, making it unlikely for ETFs to be given the green light in the first round of deadlines.
Current Market Update
Following a brief surge after the Grayscale news, the price of Bitcoin has dropped by 4.5% in the past 24 hours. As of now, Bitcoin is valued at $26,066 according to CoinGecko data.
