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Is October this year the month of Bitcoin and digital currency leap? Analysts respond

اکتبر امسال هم ماه جهش بیت کوین و ارزهای دیجیتال است؟ تحلیلگران پاسخ می‌دهند

From October 2013 to October 2021, Bitcoin recorded a negative performance only twice in this month, and in seven other periods, the price increased by more than 10%. Now that there are only 2 days left until the beginning of October 2022, can this digital currency repeat the growth of previous periods?

To Report Cointelegraph, Bitcoin today recorded its lowest price this week, while other risky assets have also seen a significant drop in their value during this period.

Is October this year the month of Bitcoin and digital currency leap?  Analysts respond
Hourly Bitcoin price chart.

Market data shows that Bitcoin touched a low of $18,461 today, which is about $2,000 lower than its previous day’s high.

The movement of the digital currency market, which is tied to the fluctuations of the American stock market, became bearish today, while the American stock market started its trading today with a slight increase.

“S&P500” and Nasdaq (Nasdaq) have lost 0.25% and 0.25% respectively in the last 24 hours.

Digital currencies, however, failed to recoup their recent losses, and investors now expect the market to face a deeper decline before prices begin to recover in the fourth quarter of 2022.

Il Capo, a popular cryptocurrency analyst on Twitter, has said that he expects October this year to be bullish for digital currencies like last year. It should be noted that from October 2013 to October 2021, Bitcoin has had a negative performance only twice and has increased in price by more than 10% on the other seven occasions.

Is October this year the month of Bitcoin and digital currency leap?  Analysts respond
Bitcoin returns in different months of each year.

Il Capo wrote on Twitter:

I expect a bullish season (Q4 2022), but before that we will see the price drop to new lows.

Rekt Capital, another analyst active on Twitter, has drawn the attention of users to the obstacles that the price must overcome in order to follow the uptrend in the monthly view.

He says:

The price has so far failed to break the $19,800 level. On the eve of the closing of the candle this month (September), we will probably see the price fluctuate near this level. The most important issue now is where the monthly candle closes relative to the green line (below or above $19,800).

Is October this year the month of Bitcoin and digital currency leap?  Analysts respond
Rect Capital’s analysis of the monthly Bitcoin price chart.

Rect Capital also said that this month’s Bitcoin candle closed below the green line on the chart, meaning the price has broken below this level for the first time since late 2020.

Is the end of the downward trend near?

In the discussion about when the downtrend will end in 2022, analysts differ on how to use data from previous cycles.

Luke Martin, the host of the STACKS podcast, has published a comparative chart pointing out that it has now been 322 days since Bitcoin hit its all-time high of $69,000.

After hitting an all-time high in 2017, Bitcoin spent 364 days in a downtrend, and if history is to repeat itself, the end of the current downtrend will be near.

Charles Edwards, the founder of Capriole Capital Management, also believes that citing this timing about the previous peaks of Bitcoin is an optimal method.

Is October this year the month of Bitcoin and digital currency leap?  Analysts respond
Comparison of the length of the bearish cycle after the peak of 2017 and after the peak of 2022.

In between, there are people who are not convinced by Martin’s explanation. A user named TedTalksMacro on Twitter has argued that the macroeconomic conditions are not the same as in 2018; A point that Martin also agrees with.

It should be mentioned that the Central Bank of America has not created any requirement for itself to stop the interest rate increase in this country. An action that has put pressure on digital currencies and other risky assets since the beginning of 2022.

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