Bitcoin
September 2024, the turning point for BTC price, here’s why
Do not give up Bitcoin right now!
While recent price action may leave you feeling bearish, a storm of optimism is brewing for a run higher in September. Analysts are glued to the charts, tracking an increase in call options from September onwards. Could this signal a big price swing coinciding with the US elections?
Dive deeper to find out what experts are predicting and whether this is your chance to finally ride the Bitcoin wave!
Bitcoin Price Analysis
Bitcoin Price it is currently trading slightly below $64,362, with a market cap of $1.268 trillion. According to a report from QCP Capital, the price of Bitcoin will likely remain range-bound for the next two months, with the massive call option sale expected to expire soon. However, the report anticipates a bullish rise later in the year, driven by aggressive buying of call options for the end of 2024.
Liquidation of miners and impact on the market
In June, Bitcoin Miners sold over 30,000 BTC worth $2 billion. This liquidation was driven by rising operating costs and reduced profits following Bitcoin’s recent halving, forcing miners to liquidate their holdings.
As a result, Bitcoin price recovery may be delayed. Additionally, the German government’s plans to sell a large supply of Bitcoin further contributed to the price cap.
Investor Sentiment
The ETF market has also seen continued selling, with spot Bitcoin ETFs recording more than US$500 million last week, reflecting the cautious stance of institutional investors. Despite this, there have been some bullish developments, such as MicroStrategy’s recent purchase of nearly 12,000 BTC, valued at $800 million. Furthermore, BitMEX CEO Arthur Hayes proposed a positive macroeconomic scenario for a Bitcoin bull run due to the Japanese banking crisis.
Running of the Bulls vs. bull trap
While there is optimism about a bull run, there is also concern about a potential bull trap, where a temporary price increase could reverse, trapping optimistic investors. Analysts advise caution, noting that regulatory approvals and market events may already be priced in, potentially leading to a short-term pullback before long-term gains.
The mixed signals from the market highlight the importance of due diligence and a considered investment strategy. Traders are advised to remain cautious as the forward-looking nature of the market could lead to a short-term correction before a true bull run begins.
Are you ready to see Bitcoin take off?
Read too: SEC Will Use Ripple Case in Lawsuit Against Binance: What You Should Know