In a riveting turn of events, Bitcoin’s impressive performance in September, which witnessed the month ending positively, has caught the keen eye of market analysts, particularly at the leading cryptocurrency exchange, Bitfinex. These analysts are now playing with the idea that this could be a promising precursor to a positive trajectory for this digital asset in October.
Delving into the annals of Bitcoin’s history, there’s a pattern that emerges – September’s positivity often setting a bullish stage for October in the Bitcoin market. This has been reiterated with the combined cryptocurrency market capitalization amplifying by a staggering 6.1% in September alone, reiterating the rarity of the month closing on a profitable note.
Contributing to this optimistic forecast for October are a multitude of factors – an anticipated increase in volatility and potential upside for Bitcoin in the coming month, per Bitfinex‘s Alpha report. Futuristic market metrics and additional indicators usher in the possibility of more constructive price movements, especially on superior timeframes.
An explicit sign of this oncoming volatility is visibly on display in the crypto options market, with increasing anticipation of higher market volatility. Traders typically brace for amplified price swings when implied volatility gets the upper hand over historical volatility.
Strong backing for Bitcoin’s current price levels is also apparent from the on-chain data cited in the report. That said, long-term holders show no sign of wavering and seem intent on maintaining their positions, thereby contributing to the cryptocurrency’s stability. Interestingly, the Bitcoin held for periods ranging between 6 and 12 months remains stagnant, with the supply aged over three years inactive since February 2023.
All trends point towards a consistent narrative – long-term investors, or “HODLers” as they are aptly referred to in cryptocurrency parlance, are holding tightly onto their Bitcoin holdings.
Bitcoin kick-started September on a healthy note, beginning at approximately $25,900 and closing the month’s curtains just a hair’s breadth under $27,000. This represents a healthy gain of 3.9% for the September month, leaving us to anticipate the potential of its trajectory for the rest of the year.
Source: Cryptonews
