History repeats itself? Bitcoin's September curse reappears, with 8 falls in 11 years.

The crypto market seems to have fallen into the historical curse of "Red September" once again. Since entering September, the market has been filled with risk-averse sentiment, with total market capitalization evaporating by over $100 billion in just a few days. Historical statistics show that in the past 11 years, Bitcoin prices recorded declines in 8 of those Septembers, with an average drop of about 8.5%.

This seasonal weakness is not a coincidence. From the perspective of market behavior, September typically marks the end of summer holidays in the Northern Hemisphere, when traders and institutions return to the market, potentially reassessing their portfolios, leading to increased trading activity and heightened volatility.

According to the K33 Research report, the probability of Bitcoin falling in September is as high as 73% based on 11 years of data from 2013 to 2023. The only exceptions were the early bull markets in 2015 and 2016, and a brief rebound in 2021.

This September seems to be confirming this curse. After a brief rebound at the end of August, the market turned downwards, with Bitcoin falling from $114,000 to below $108,000, causing the total market capitalization to quickly evaporate by over $10 billion from nearly $3.9 trillion. The fear and greed index has also fallen back to the "neutral" or even "fear" range.

The self-fulfilling prophecy of the "September curse" plays a role in amplifying the effects. When most participants believe that there will be a fall in September, they tend to sell early, and this collective behavior itself constitutes a strong selling pressure.

The cryptocurrency market is full of uncertainty and challenges, but it also contains potential opportunities. Investors should fully understand the associated risks when participating in cryptocurrency investments, remain calm and rational, and adopt a prudent strategy to respond to market changes!