- Interestingly, demand for Bitcoin seems to have increased around the $25,500 level as seen by the lower price rejection candle on the daily chart.
- Despite the bear market, Traders should now be prepared for the launch of Bitcoin and various altcoins that will be released by the American authorities from the now-defunct FTX exchange.
- While adding more volatility in the market, Deutscher has put Bitcoin at $25,000 and 23.
He anticipates interest from buyers looking to accumulate around $1,000,000 but remains cautious and acknowledges that even lower prices are possible.
September is known to be a bad month for Bitcoin price, but could this be reversed this year? Investors should follow these events carefully!
Bitcoin Continues Sideways Price Movements
The global cryptocurrency market cap is currently $1.04 trillion, showing a slight increase of 0.27% since yesterday. However, trading volume dropped significantly to $18.92 billion. Bitcoin experienced a significant drop from $28,176 to $25,451, recording a 9.8% loss. Interestingly, demand for Bitcoin seems to have increased around the $25,500 level as seen by the lower price rejection candle on the daily chart.
As the market adds more volatility, analyst Miles Deutscher warns that Bitcoin (BTC) tends to face challenges in September, historically a tough month for BTC bulls, and this year could be even more challenging. The crypto market enters a period where major exchanges like Binance and Coinbase are under scrutiny, facing SEC interventions, and significant token unlocks.
Deutscher analyzed that September 2023 has worsened with “significant excess supply” due to delays in Bitcoin ETF decisions. This could pose problems for Bitcoin bulls. September typically brings pain for Bitcoin enthusiasts, and this year is no exception.
Despite the bearish market, traders should now be prepared for the release of Bitcoin and various altcoins from the now-defunct FTX exchange by U.S. authorities. Additionally, he mentioned that many major token unlocks, such as Apecoin (APE), Aptos (APT), dYdX (DYDX), and Optimism (OP), are scheduled for September.
In a normal market, these “sell walls” on major altcoin pairs might not be a big issue. However, when there’s little trading activity in the fourth quarter, even small amounts can significantly impact prices. Deutscher believes that reviving market interest through ETF growth could help alleviate these issues.
Furthermore, a short-lived Bitcoin price surge after Grayscale’s legal victory indicates market exhaustion. Bitcoin quickly returned to mid-June levels and failed to break the $30,000 barrier after the initial excitement.
Will 2023 Reverse the September Curse?
Deutscher warns Bitcoin enthusiasts to watch two macroeconomic triggers closely: the Consumer Price Index (CPI) release on September 13 and the Federal Open Market Committee (FOMC) meeting on September 20. Both events could impact the prices of Bitcoin and major altcoins.
As the market adds more volatility, Deutscher anticipates interest from buyers looking to accumulate Bitcoin around the $25,000 and $23,000 levels but continues to exercise caution and acknowledges the possibility of even lower prices. As of the time of writing this article, Bitcoin is trading at approximately $25,990 on major exchanges.
