Prime crypto analyst Benjamin Cowen says that Bitcoin (BTC) might see a serious market correction subsequent month based mostly on its historic efficiency in September.
Cowen tells his 762,500 followers on the social media platform X that Bitcoin might decline by greater than 16% from its present worth in September.
“Good likelihood we see $23,000 BTC in September.”
Wanting on the dealer’s chart, Cowen seems to foretell that Bitcoin will drop to the $23,000 worth degree to retest it as assist.
At time of writing, Bitcoin is buying and selling for $27,427, up over 5% within the final 24 hours.
Cowen additionally shares a chart that reveals September is essentially the most bearish month for Bitcoin by way of common returns. Cowen highlights that Bitcoin printed important losses in September 2019, the latest pre-halving 12 months, and this September falls in one other pre-halving 12 months.
“September common return for BTC is -7%.
In 2019 (the final pre-halving 12 months), BTC dropped 13.91%.”
Cowen says that simply because Bitcoin is more likely to decline in September that doesn’t imply the value received’t be risky. He thinks Bitcoin might bounce and print decrease highs amid the general development to the draw back, much like the value motion in September 2019.
“After all, the trail there’s a stochastic course of. Even in 2019, we first went up a bit in September, solely to roll over on the finish of it. So we might all the time get a decrease excessive (rejection off 20-week SMA (easy transferring common)/21-week EMA (exponential transferring common) or one thing) earlier than seeing $23,000.”
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