After exceeding the expectations of most market participants this September, Bitcoin, the leading cryptocurrency, might now be on track to record stellar gains in the fourth quarter of the year.
According to analyst Eric Crown, every time the largest cryptocurrency has closed September in the green, it would end up having a positive fourth quarter.
Crown has calculated that the average return for such quarters currently stands at 170%.
Bitcoin has been on a roll since the recent implementation of the Federal Reserve's jumbo rate cut.
On Friday, the price of the leading cryptocurrency peaked at $66,508. However, the bulls failed to maintain their momentum during the weekend. On Sunday, Bitcoin ended up dipping into red territory.
The leading cryptocurrency has started the new week with another decline, plunging to the $64,000 level.
Despite the unfortunate price drop, Bitcoin is still up by more than 8% this September. Unless a major price crash happens in the near future, the cryptocurrency still appears to be on track to finish this month in the green. This could potentially set the stage for a bullish Q4 if history is any guide.
James Check, an on-chain analyst at Glassnode, has noted that Bitcoin's market momentum is now back to neutral across multiple timeframes. He has also pointed to the fact that cryptocurrency is showing a high level of correlation with gold and equities. This could be viewed as a positive development given that these two assets recently reached record highs.
With just one day left, it remains to be seen whether the bulls will manage to make sure that this September remains in the green.
Dan Burgin
Vladislav Sopov