Bitrabo Editorial
Bitcoin and the overall cryptocurrency market have been experiencing minimal price fluctuations for most of the year. However, signs of a potential recovery are emerging, with some experts suggesting that a more favorable period for crypto investors is on the horizon. A notable crypto entrepreneur has shared insights on the optimal and suboptimal times for investing in Bitcoin and other digital currencies. Based on his analysis, it appears that the most challenging phase for Bitcoin may be coming to a close, indicating that better days could be ahead.
Timing Your Investment in Bitcoin
Charles Edwards, who leads the digital assets investment firm Capriole Investments, recently shared his views on social media platform X (previously known as Twitter). He discussed the most favorable and unfavorable times for investing in Bitcoin, including a detailed overview of Bitcoin’s quarterly performance that highlights both the peak and trough periods.
Edwards’ findings reveal that the most lucrative quarter for Bitcoin typically occurs in the last quarter of the year, while the third quarter tends to deliver the poorest returns. This indicates that Bitcoin is currently experiencing its least favorable period, but with September nearing its end, the downturn could soon conclude.
Historically, the average returns for the third quarter are around +5.39%, the lowest compared to other quarters. The second quarter ranks as the second least favorable yet holds a relatively high average of +26.89%. Interestingly, the fourth quarter displays a negative median return of -4.64%, a unique occurrence among the quarters.
On the flip side, the fourth quarter usually witnesses a bullish trend, characterized by an average return of +88.84% and a median return of +56.90%. As the third quarter comes to a close, Edwards is optimistic about the future, stating, “If you are still here, congratulations. You made it through the worst phase to invest in Bitcoin. Better times await,” according to his post.
Potential For Bitcoin to Reach Record Heights in October
Referring to Bitcoin’s monthly performance data available on Coinglass, Edwards seems to predict an impending end to the decline. Historically, the months of October, November, and December have consistently been among the most favorable for Bitcoin, and this year may follow the same trend.
Should this trend persist, Bitcoin could see an average price increase of approximately 20% in October, potentially setting it on a trajectory toward achieving a new all-time high. If the bullish trend continues, there is a possibility that Bitcoin might reach unprecedented heights by the end of 2024.