- Bitcoin’s recent gains have been met with skepticism as exchange inflows surge, suggesting profit-taking.
- Historically, Bitcoin’s performance in September has been poor, causing market jitters.
Bitcoin [BTC] price was trading at $56,864 at press time after a 3.6% gain in 24 hours. The gains followed a 31% increase in trading volumes, per CoinMarketCap.
The renewed optimism comes despite September being one of the worst months for Bitcoin. However, despite the upsurge, several signals are yet to turn bullish, creating concerns that BTC might not be out of the woods yet.
September bears haunt traders
The general market sentiment is still bearish, with the Bitcoin Fear and Greed Index at 33, suggesting that traders were bracing for a potential repeat of previous price dips in September.
In fact, a recent report by U.S. fund manager NYDIG noted that the market could be,
“Stuck in a seasonal slog for the next month.”
The report also stated,
“On average, Bitcoin has fallen 5.9% in September and the median return is -6.0%. That’s not much solace given that September is just starting.”
The sentiment will likely change towards the end of the month. According to Rekt Capital, Bitcoin could be headed for three straight months of positive upside in the last quarter of the year.
As past price declines in September haunt traders, Bitcoin’s upside potential remains capped.
Exchange inflows reach 7-day high
Another key signal showing that a bearish trend is in play is exchange inflows.
Data from CryptoQuant shows that on 9th September, Bitcoin inflows to spot exchanges reached 18,193, a massive jump from the 2,535 BTC posted the previous day. This was also the biggest level of inflows in seven days.
Source: CryptoQuant
The surge in inflows coincided with a recovery in BTC prices, suggesting profit-taking. It signals that traders are anticipating a bearish trend ahead as they choose to trim losses.
Such selling activity indicates that traders do not anticipate a major breakthrough in price, and Bitcoin’s uptrend might continue to face resistance.
The profit-taking behavior is further seen in the Spent Output Profit Ratio (SOPR) ratio on CryptoQuant which has shifted above 1 suggesting that traders are selling to realize gains.
This can put a brake on Bitcoin’s gains.
Source: CryptoQuant
Buyers hold back
In a typical crypto bear market, buying activity remains relatively low. This trend has appeared on the Bitcoin daily chart.
The Chaikin Money Flow has been negative since the 27th of August. Despite some bouts of buying activity, this indicator has not flipped positive for two weeks.
This shows that Bitcoin has experienced more selling than buying within this period.
Source: TradingView
Moreover, BTC has traded below the 200-day Exponential Moving Average for two weeks now. This shows that the general market sentiment is negative.
The inability of BTC to reclaim the 200-day EMA also indicates a lack of confidence among traders in a near-term price recovery.
Upcoming CPI data
Crypto traders are also turning their attention towards the US Consumer Price Index (CPI) data that will be released on Wednesday.
According to Marketwatch, investors expect the August CPI print to come in at 2.6%, a drop from the previous month’s 2.9%.
Positive inflation data will strengthen the case for the Federal Reserve easing interest rates next week.
Per the CME FedWatch Tool, 73% of investors price in a 25 basis points rate cut, while 27% of investors anticipate an even steeper cut of 50 basis points.
Source: CME FedWatch Tool
Last week, U.S. Treasury Secretary Janet Yellen, heightened expectations of rate cuts after saying the economy was healthy and headed into a recovery.
The Fed easing rates for the first time since 2020 will boost appetite for risk assets such as crypto, which might lower the odds of a crypto bear market.
A positive sign emerges
While bearish signals are dominating, a positive sign emerged when spot Bitcoin exchange-traded funds (ETFs) flipped positive for the first time since late August.
On the 9th of September, inflows to spot Bitcoin ETFs came in at $28M per SoSoValue data.
Read Bitcoin’s [BTC] Price Prediction 2024–2025
However, the two largest Bitcoin ETFs by net assets saw negative outflows. The BlackRock iShares Bitcoin Trust (IBIT) and the Grayscale Bitcoin Trust (GBTC) saw $9M and $22M in outflows, respectively.
If the Bitcoin ETF data comes in positive for the rest of the week, it will renew optimism among crypto traders and alleviate fears of a bear market.
- Bitcoin’s recent gains have been met with skepticism as exchange inflows surge, suggesting profit-taking.
- Historically, Bitcoin’s performance in September has been poor, causing market jitters.
Bitcoin [BTC] price was trading at $56,864 at press time after a 3.6% gain in 24 hours. The gains followed a 31% increase in trading volumes, per CoinMarketCap.
The renewed optimism comes despite September being one of the worst months for Bitcoin. However, despite the upsurge, several signals are yet to turn bullish, creating concerns that BTC might not be out of the woods yet.
September bears haunt traders
The general market sentiment is still bearish, with the Bitcoin Fear and Greed Index at 33, suggesting that traders were bracing for a potential repeat of previous price dips in September.
In fact, a recent report by U.S. fund manager NYDIG noted that the market could be,
“Stuck in a seasonal slog for the next month.”
The report also stated,
“On average, Bitcoin has fallen 5.9% in September and the median return is -6.0%. That’s not much solace given that September is just starting.”
The sentiment will likely change towards the end of the month. According to Rekt Capital, Bitcoin could be headed for three straight months of positive upside in the last quarter of the year.
As past price declines in September haunt traders, Bitcoin’s upside potential remains capped.
Exchange inflows reach 7-day high
Another key signal showing that a bearish trend is in play is exchange inflows.
Data from CryptoQuant shows that on 9th September, Bitcoin inflows to spot exchanges reached 18,193, a massive jump from the 2,535 BTC posted the previous day. This was also the biggest level of inflows in seven days.
Source: CryptoQuant
The surge in inflows coincided with a recovery in BTC prices, suggesting profit-taking. It signals that traders are anticipating a bearish trend ahead as they choose to trim losses.
Such selling activity indicates that traders do not anticipate a major breakthrough in price, and Bitcoin’s uptrend might continue to face resistance.
The profit-taking behavior is further seen in the Spent Output Profit Ratio (SOPR) ratio on CryptoQuant which has shifted above 1 suggesting that traders are selling to realize gains.
This can put a brake on Bitcoin’s gains.
Source: CryptoQuant
Buyers hold back
In a typical crypto bear market, buying activity remains relatively low. This trend has appeared on the Bitcoin daily chart.
The Chaikin Money Flow has been negative since the 27th of August. Despite some bouts of buying activity, this indicator has not flipped positive for two weeks.
This shows that Bitcoin has experienced more selling than buying within this period.
Source: TradingView
Moreover, BTC has traded below the 200-day Exponential Moving Average for two weeks now. This shows that the general market sentiment is negative.
The inability of BTC to reclaim the 200-day EMA also indicates a lack of confidence among traders in a near-term price recovery.
Upcoming CPI data
Crypto traders are also turning their attention towards the US Consumer Price Index (CPI) data that will be released on Wednesday.
According to Marketwatch, investors expect the August CPI print to come in at 2.6%, a drop from the previous month’s 2.9%.
Positive inflation data will strengthen the case for the Federal Reserve easing interest rates next week.
Per the CME FedWatch Tool, 73% of investors price in a 25 basis points rate cut, while 27% of investors anticipate an even steeper cut of 50 basis points.
Source: CME FedWatch Tool
Last week, U.S. Treasury Secretary Janet Yellen, heightened expectations of rate cuts after saying the economy was healthy and headed into a recovery.
The Fed easing rates for the first time since 2020 will boost appetite for risk assets such as crypto, which might lower the odds of a crypto bear market.
A positive sign emerges
While bearish signals are dominating, a positive sign emerged when spot Bitcoin exchange-traded funds (ETFs) flipped positive for the first time since late August.
On the 9th of September, inflows to spot Bitcoin ETFs came in at $28M per SoSoValue data.
Read Bitcoin’s [BTC] Price Prediction 2024–2025
However, the two largest Bitcoin ETFs by net assets saw negative outflows. The BlackRock iShares Bitcoin Trust (IBIT) and the Grayscale Bitcoin Trust (GBTC) saw $9M and $22M in outflows, respectively.
If the Bitcoin ETF data comes in positive for the rest of the week, it will renew optimism among crypto traders and alleviate fears of a bear market.
Wonderful beat I wish to apprentice while you amend your web site how could i subscribe for a blog web site The account aided me a acceptable deal I had been a little bit acquainted of this your broadcast provided bright clear idea
Hello there! Do you know if they make any plugins to help with Search Engine Optimization? I’m
trying to get my site to rank for some targeted keywords
but I’m not seeing very good success. If you know of any please share.
Kudos! I saw similar art here: Blankets
Hello there! Do you know if they make any plugins to help with Search Engine Optimization? I’m trying to get my site to rank for some targeted keywords but I’m not seeing very good success.
If you know of any please share. Thanks! I saw similar blog here:
Coaching
I’m extremely impressed along with your writing skills as smartly as with the structure to your weblog.
Is that this a paid subject matter or did you customize it
your self? Either way keep up the nice high quality writing,
it’s uncommon to see a great weblog like this one today.
HeyGen!
I’m really inspired together with your writing abilities
and also with the layout in your blog. Is that this a paid topic or did
you customize it yourself? Either way keep up the nice high quality writing, it is rare to
peer a great blog like this one nowadays. Youtube Algorithm!
I am extremely inspired together with your writing skills as smartly as with the format to your blog. Is that this a paid subject or did you customize it yourself? Anyway stay up the excellent high quality writing, it is uncommon to see a great weblog like this one today. I like coininsights.com ! It is my: Snipfeed
I am extremely impressed together with your writing talents and also with
the format for your weblog. Is that this a paid theme or did you customize it yourself?
Anyway keep up the nice high quality writing, it’s rare
to look a great blog like this one these days. Tools For Creators!
I am extremely impressed along with your writing talents and also
with the layout to your weblog. Is that this a
paid subject matter or did you customize it yourself? Either
way stay up the nice quality writing, it’s rare to see a nice blog like this one these days.
Beehiiv!
cost of generic clomiphene prices can i get clomiphene without insurance can i order clomid without insurance can you get clomid without rx where to get cheap clomid price buy cheap clomid pill where can i get generic clomiphene
This is the kind of scribble literary works I truly appreciate.
More posts like this would bring about the blogosphere more useful.
order zithromax 250mg sale – cost zithromax buy metronidazole sale
buy rybelsus 14mg online cheap – cheap cyproheptadine cyproheptadine where to buy
motilium online order – cyclobenzaprine 15mg sale cyclobenzaprine uk
order amoxiclav – atbioinfo buy acillin generic
order esomeprazole 20mg generic – https://anexamate.com/ buy esomeprazole online cheap
order coumadin pills – anticoagulant cheap losartan 50mg
buy generic meloxicam online – https://moboxsin.com/ buy meloxicam 7.5mg for sale
buy deltasone online – https://apreplson.com/ order deltasone 5mg
mens ed pills – buy ed pills no prescription ed pills otc
purchase amoxil for sale – https://combamoxi.com/ amoxil brand
order diflucan 200mg sale – diflucan 200mg generic diflucan price
buy generic cenforce for sale – https://cenforcers.com/ cenforce 100mg drug
when is the best time to take cialis – ciltad gn when will generic cialis be available in the us
cialis bodybuilding – https://strongtadafl.com/# what is tadalafil made from
ranitidine uk – zantac price order ranitidine online cheap
order generic viagra uk – strong vpls viagra sale derby
This is the kind of delivery I find helpful. clomid en espaГ±ol
This is a theme which is near to my heart… Many thanks! Quite where can I find the phone details for questions? no prescription prednisone
This is a topic which is in to my callousness… Numberless thanks! Faithfully where can I notice the acquaintance details in the course of questions? https://ursxdol.com/sildenafil-50-mg-in/
I’ll certainly bring back to read more. https://prohnrg.com/product/metoprolol-25-mg-tablets/
This is the description of topic I have reading. https://aranitidine.com/fr/lasix_en_ligne_achat/
With thanks. Loads of erudition! https://ondactone.com/simvastatin/
I’ll certainly return to read more.
purchase topamax generic
More text pieces like this would urge the интернет better. http://forum.ttpforum.de/member.php?action=profile&uid=425020
forxiga online order – site buy dapagliflozin 10mg generic
orlistat for sale online – janozin.com buy xenical generic
live poker uk 2021, online casinos canada no deposit bonus and free no deposit australian hoyle casino games 2022 free download, or usa only
online casinos
This website absolutely has all of the tidings and facts I needed to this thesis and didn’t comprehend who to ask. https://experthax.com/forum/member.php?action=profile&uid=124786