Bitcoin Price Starts September on a Bad Note: Can September 2023 Bring Profits?

• Bitcoin (BTC), which had a shaky start to September, experienced a decline and is currently trading at around $25,800.
• Despite the initial setbacks at the beginning of this month, BTC has the potential to change the September story. Given its unpredictable nature, Bitcoin can deviate from historical declines and record gains.
• As September progresses, the crypto community closely monitors Bitcoin’s movements. Despite a gloomy September outlook and recent events increasing uncertainty, Bitcoin’s path remains unpredictable.

SEC’s decision to delay all spot Bitcoin ETF applications caused the price of BTC to start September with a decline; can September turn around?

Bitcoin Price Plunged at the Beginning of September

Bitcoin (BTC), which had a shaky start to September, experienced a decline and is currently trading at around $25,800. This decline is directly related to the SEC’s decision to delay its decision on a series of spot Bitcoin ETF applications. This decision came after Grayscale’s victory against the SEC, which temporarily boosted market optimism.

Data analytics firm Santiment reported that Bitcoin started September by dropping to $25.4 thousand, the lowest price level since June 16. They stated the following:

“Investors have an increasing concern that even after Grayscale’s victory, the SEC may not be willing to approve spot Bitcoin ETFs. We expect FUD to prevail at least over the weekend.”

In the context of past performance, it is important to note that September has traditionally not been favorable for BTC. Crypto analyst Will Clemente emphasized that Bitcoin has mostly encountered negative returns in this month since 2016. In particular, there was a sharp 13.47% decline in 2019, and 2022 saw a milder decline of 3.12%.

Can September Turn Around?

Despite the initial setbacks at the beginning of this month, BTC has the potential to change the September story. Given its unpredictable nature, Bitcoin can deviate from historical declines and record gains. However, the fate of the market largely depends on fundamental factors, and traders need to stay alert.

The SEC’s delayed decisions regarding ETFs shook the market, and although some experts expected this outcome, the resulting decline was more pronounced than anticipated. Grayscale’s court victory initially signaled an open door for Bitcoin ETFs. However, consecutive delays have stirred uncertainty. Additionally, the SEC has another 45 days to conclude its stance, but another extension is possible.

However, there is a glimmer of hope for analysts who assess the likelihood of the SEC approving a spot Bitcoin ETF within this year at 75%. This optimistic prediction implies that, especially after Grayscale’s court victory, the SEC may struggle to maintain its previous rejection stance.

As September progresses, the crypto community closely monitors Bitcoin’s movements. Despite a gloomy September outlook and recent events increasing uncertainty, Bitcoin’s path remains unpredictable. As the SEC’s decision day approaches, the results will greatly impact Bitcoin’s trajectory.