At the start of September, Bitcoin (BTC) has faced price declines driven by miner pressure and historical trends pointing to a challenging month.
Reasons for Price Decline in August
In August, Bitcoin's price fell amid active selling by miners who aimed to lock in profits. CryptoQuant's data shows a sharp increase in miner-to-exchange flows as miners began offloading their holdings. This pressure coincided with reduced demand and trading volumes, contributing to further price declines.
September's Historical Downward Trend
September has traditionally proven to be a weak month for Bitcoin, with historical data showing that in 8 out of the last 12 years, the BTC price closed in the red. Even during the bull markets of 2017 and 2021, Bitcoin lost more than 7% in September. Many analysts predict that September 2023 will not be an exception to this pattern.
Trading Outlook for September
Given the current conditions, traders are advised to closely monitor key support and resistance levels. Bitcoin is currently around the $110,500–$112,000 range, and breaking above this level may lead to record highs. Conversely, falling below $100,000 could trigger bearish momentum, making September a critical month for potential reversals.
Considering the miner pressure and historical trends, traders should exercise caution in September. Potential price volatility offers both risks and opportunities for investment.
