As we now hit the halfway mark of September as the month unfolds, prospective investors are facing a crucial question: Is it the right time to buy Bitcoin (BTC)?
Finbold has delved into various factors that could influence your decision, keeping in mind that cryptocurrency investments are inherently volatile and carry risks.
While there are no certainties in the world of cryptocurrencies, several factors suggest that Bitcoin might be gearing up for a noteworthy end to the month.
Bitcoin current state
At the time of writing, Bitcoin is trading at $26,647, marking a 1.5% increase on the day and a 2% gain over the week. With Bitcoin’s all-time high of $69,000 still fresh in memory, the current price appears relatively undervalued. This discrepancy raises the possibility of a potential rebound in the future.
The cryptocurrency market has endured a challenging period since 2022, characterized by a persistent bearish trend. However, there are indications that this gloomy phase may be coming to an end. Bitcoin, as the leading cryptocurrency, tends to set the tone for the entire market. Thus, any sign of recovery in Bitcoin can be seen as a positive signal for the broader crypto landscape.
Regulatory Developments
One development in the crypto world would be the approval of the first Bitcoin spot exchange-traded fund (ETF) by the United States Securities and Exchange Commission (SEC).
A regulatory green light paves the way for easier and more secure Bitcoin investments. As the accessibility of Bitcoin increases, it’s likely to attract a broader range of investors, potentially driving up demand for the cryptocurrency.
BTC technical analysis
Bitcoin’s price is currently oscillating between a $26,028 support level and a $27,176 resistance level. These levels can provide essential guidance for traders and investors. Bitcoin’s current trading position below its 200-day simple moving average is a noteworthy technical indicator. Historically, when Bitcoin falls below this threshold, it has often been considered undervalued, signaling potential upward movement.
The machine learning algorithms at PricePredictions forecast that Bitcoin could reach $27,288 by the end of September, offering a potential profit opportunity for those who invest now.
CoinCodex, on the other hand, predicts an even more bullish scenario, with a month-end target of $31,571.
Over the past year, Bitcoin has shown remarkable resilience and growth potential. Despite enduring the ebbs and flows of the volatile crypto market, BTC has managed to secure a 32% increase in its value. This performance suggests that even amidst the uncertainties and fluctuations, the flagship digital asset has consistently attracted investors and retained its position as the leading cryptocurrency.
Bitcoin’s enduring dominance in the cryptocurrency realm becomes evident when examining its performance against its peers. Over the past year, BTC has outperformed an impressive 87% of the top 100 cryptocurrencies.
Over the past 30 days, Bitcoin has exhibited some volatility, with only 12 green days. This short-term variability is characteristic of the cryptocurrency market. However, it’s essential to keep in mind that Bitcoin is down 61% from its all-time high.
For some investors, this decline may signal a favorable entry point, particularly if they maintain a long-term perspective and believe in the cryptocurrency’s continued growth potential.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
