Why September is shaping up to be a potentially ugly month for Bitcoin price
Bitcoin monthly returns. Source: CoinGlass Interestingly, Bitcoins poor track record across the previous September months coincides with similar downturns in the stock market. For instance, the average decline of the U.S. benchmark S&P 500 in September is 0.7% in the last 25 years. S&P 500 performance in August and September since 1998. Source: Bloomberg Traditional chart analysts have dubbed this anual drop-off as the “September effect.” विश्लेषकों बहस that investors exit their market positions after returning from their summer vacations in September to lock gains, or even tax losses, ahead of the years close. Meanwhile, they also note that individual investors liquidate their assets in September to pay for their childrens anual school costs. Bitcoin के शेयर बाजार के साथ सहसंबंध has been largely positive during and after the coronavirus pandemic. Therefore, in addition to the September effect, these mirroring price trends could also increase BTCs likelihood of dropping high in the ominous month. BTC/USD four-hour candle price chart featuring “bear flag” setup. Source: TradingView Meanwhile, on the daily chart, BTC has been breaking down from its rising wedge pattern since Aug. 19. The bearish reversal setups profit target comes to be near $17,600, as illustrated in the chart below. BTC/USD daily price chart featuring rising wedge breakdown setup.