September a historical Bear Month for Bitcoin: Will the down-trend continue?

The month of September has historically remained a Bearish month for Bitcoin. An analysis of the performance of Bitcoin over the last eight years shows that Bitcoin never measured above 6% consecutively in all the previous months of September. There has always been a sudden pullback in the month of September that analysts now boldly assert that Bitcoin does not seem to like the month of September. However, the strong accumulations occurring with the present current pullback last week predicts that the down-trend may not last long and that the general outlook to Bitcoin remains Bullish.

The Bull market for Bitcoin and other Crypto-currencies which resurfaced in August and took the price of Bitcoin to a new ATH at 52k has been vehemently resisted in this month of September. Thus last week, on September 7, the price of Bitcoin witnessed a drastic drop within a single day from the top at $51,600 down to a new All-time Low (ATL) at $44k which is over a 15% drop occurring for Bitcoin in a single day.

A close study of the historical price movements over the period of eight years has confirmed to investors that September had remained a bearish month for Bitcoin (BTC). Thus from the comparisons of the performance of Bitcoin in this past eight years, it has been observed that Bitcoin has recorded a negative returns in six of the past year's September out of the eight instances. Technically speaking it is evident that Bitcoin has a 75% probability for a decline cum bearish dominance in every month of September.

Equally, from the records of the performance of Bitcoin consistently in the month of September over the period of 8 years, it is evident that Bitcoin has never seen an increase of more than 6% in the month of September. Commenting on this, the market analyst and investor Michael Van de Poppe insists that “Bitcoin doesn't like the month of September” hence, it has always showcased a price shock and unexpected fall during this month for the past eight years. While there is no particular reason why Bitcoin doesnt like September, experts believe Bitcoin will break the jinx this time around notwithstanding the recent sharp decline.

Bitcoin has a strong support at $44,600 and next at $42,000 with an upper side barrier at $50,000. It has to stay above the $51,000 psychological level for at least one week as to convince investors of the Bullish Breakout. Altcoins have equally fallen with Bitcoin last week showing that Bitcoin Dominance has never subsided. The fear index has as well increased to about 60% just last week. What next do we expect in the coming weeks？

Analysis and Forecast for Bitcoin for this month of September.

Since the sudden pullback on Bitcoin on September 7 to the 44k region, the price of Bitcoin has been ranging from $45200 to $47,600. Interestingly, some great accumulations for Bitcoin has been on-going by whales; showing that investors are still very positive about the asset as to continue its Bull- run. Bitcoin has equally shown good resilience and has been holding strong between the $45k to 48k region. On the other hand, a strong downward spiral is likely if the asset undercuts the $44,200 region in this month.

On the positive side, once Bitcoin succeeds to close above $51,000 with good volumes this week, then we may expect the prices to further rally up to $54,300 and next to $57,175. But should the asset break to the downside, then the prices may drop to the next support level which is at $42,500.