The price of Bitcoin may soon see some relief!
Since there are no cash flows, dividends, or income statements, bitcoin and cryptocurrencies trade very much on emotion.
And, as you know, emotions can be a fickle thing.
That means that news releases and seasonality trends likely play a bigger role in predicting price movements than they would in traditional equities markets.
For that reason I think it makes a lot of sense to pay attention to seasonal trends when trading bitcoin.
That being said, the months of October and November are great times to own bitcoin.
How great you may be wondering?
Check this chart out:
(Source:
)https://twitter.com/CryptoBTC_Chris/status/1050780223032168448
- CryptoBTC_Chris
Going back to November of 2012, there are 11 data points (months) to go off of, and only 1 of those 11 points end up being red.
That means that since 2012, bitcoin has been green during October or November 91% of the time, with an average return of 29% and 94% respectively.
Were those averages to play out this year, we could see bitcoin have a very nice October and November rally!
What's more...
If you look at those months, not only was bitcoin green in those months, but even the times when bitcoin was green in October, it tending to also still go up in November is well.
Which means gains on top of gains!
In fact, bitcoin has increased in November in every single data point on the chart.
Will history repeat this year?
I have no idea, but I do like our chances of having a very good next few months.
I'm not sure about you, but I am sure ready to start seeing some green on the screen again.
Stay informed my friends.
Image Source:
https://www.etftrends.com/bitcoin-bulls-eye-favorable-seasonality/
