History and dollar strength signal a rough September ahead for Bitcoin

exchange681 week ago

0 0 1 minute read

Quick Take

Bitcoin’s performance in the month of September has historically been below par. Since 2013, the ninth month of the year has consistently resulted in a dip for the cryptocurrency, barring 2015 and 2016. The DXY index, which measures the strength of the US dollar, stands above 103, pointing to a potent catalyst for Bitcoin’s September slump.

Analysis from Barchart indicates that the dollar typically fares well in September, which could contribute to increased volatility for risk-on assets such as Bitcoin. The frequency of the dollar’s gains in September since 2017 surpasses that of any other month sixfold. Thus, with the dollar’s strength and historical trends converging, September may present significant headwinds for the flagship cryptocurrency.

BTC monthly Returns: (Source: Coinglass)

Analyst

James Van Straten

Former Lead Analyst at CryptoSlate

James fervently appreciates data, technology, and trend-spotting. As a tech and liberty maximalist, he hails Bitcoin as the 21st century’s paramount invention.

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