Over the past 24 hours, Bitcoin (BTC) has seen a modest 2% increase in its price, breaking above the $26.2k mark during the early hours of Friday’s Asian market. However, this upturn, while welcome, doesn’t alter the overall bearish sentiment prevailing in the cryptocurrency market.
The declining dominance of Bitcoin, dipping below the 200-weekly Moving Average (MA), indicates a growing interest in altcoins. Analysts in the crypto space anticipate a forthcoming correction, followed by a resurgence aiming for all-time highs (ATH).
What Does September Hold?
Michaël van de Poppe, a prominent cryptocurrency analyst and influencer hailing from Amsterdam, offers insights into Bitcoin’s historical trends for September. He advises traders and investors not to anticipate significant price surges for Bitcoin during this month. September has traditionally proven to be a volatile period for Bitcoin, particularly in the year following a halving event.
Nevertheless, van de Poppe predicts that Bitcoin will find strong support at approximately $25.5k, aligning with the 200-weekly Exponential Moving Average (EMA).
Here’s a Positive Spin on Things: Bitcoin Could Reach $42,000 in September, But There’s Catch!
What Does History Tell Us?
Taking a technical perspective, van de Poppe draws a parallel between the present crypto correction and the one witnessed in 2015, characterized by a surge in retail trader involvement. Furthermore, the cryptocurrency market has seen increased participation from institutional investors this year, primarily driven by concerns regarding inflation’s impact on global economies and fiat currencies.
Also Read: Terrible September Ahead for Bitcoin; Traders Should Note These 5 Points Before Jumping In
All Eyes on the SEC
At the moment, crypto investors are closely monitoring the United States Securities and Exchange Commission (SEC) as the agency receives growing number of applications for Bitcoin and Ethereum spot exchange-traded funds (ETFs). Notably, the recent decision involving Grayscale Investments has bolstered hopes for the approval of a spot Bitcoin ETF in the United States.