Market Analysts Eye July for Potential Big Wins in Bitcoin and Ethereum — Here’s Why
July 01 2024 - 7:30PM
NEWSBTC
In the financial market, historical trends often offer a glimpse
into potential future outcomes and so far, July has historically
been a strong month for both Bitcoin and Ethereum, and analysts are
eyeing this pattern to predict another fruitful period. A
Profitable July For Bitcoin And Ethereum According to seasoned
market analysts from QCP Capital, Bitcoin has displayed a median
return of 9.6% in July over the years, with a pattern of bouncing
back significanly following lackluster performances in June. This
year, Bitcoin’s decline of nearly 10% in June sets the stage for a
possible uplift in July based on these historical insights. 3/
Looking at seasonality, BTC has a median return of 9.6% in July and
tends to bounce back strongly especially after a negative June
(-9.85%). — QCP (@QCPgroup) July 1, 2024 Adding to the optimistic
outlook, Coinbase analysts David Duong and David Han have
corroborated the trend, noting that improved liquidity conditions
expected in July could further “bolster” the market. Related
Reading: Bitcoin Nears $64,515 Resistance: Will A Breakthrough
Ignite A Bullish Run? The aftermath of June’s sell-offs has
cleansed the market of excess positions, potentially paving the way
for more stable and positive price movements. Moreover, the trading
volumes for Bitcoin and Ethereum, encompassing both spot and
futures across global exchanges, have witnessed a dip from $90
billion in May to $75 billion in June. This consolidation in trade
volumes is seen as setting a healthier stage for the next wave of
market activity, according to the analysts.. The positive July
seasonality is not just a pattern observed in the top
cryptocurrencies but is also underpinned by broader market
dynamics. Analysts like Ali have pointed out that the recovery
patterns post-June slumps particularly indicate “strong bounce
back” in July performances historically. Historically, when
#Bitcoin has had a negative June, it tends to bounce back strongly
in July. In fact, $BTC has shown an average return of 7.98% and a
median return of 9.60% during this month.
pic.twitter.com/fJaIwc7Eob — Ali (@ali_charts) June 30, 2024 This
has been particularly true for Bitcoin, which has shown an average
return of nearly 8% during this month. BTC Current Market
Performance It is worth noting that the setup for a bullish July is
further supported by the technical analysis of Bitcoin’s recent
price movements. In the past 24 hours alone, Bitcoin has surged by
2.7% currently trading at $63,104, marking a promising start to the
month. This recent uptick has pushed its weekly gains to a similar
2.7%, reflecting growing investor confidence. Despite these
historical and current positive indicators, the predictions aren’t
without their challenges. Market conditions, including
macroeconomic factors and regulatory developments could still
influence crypto prices in a way not expected. Related Reading:
Bitcoin Weekend Trading Takes A Siesta: Volumes Plunge To Record
Lows Additionally, while analysts provide a hopeful outlook based
on statistical and historical data, the volatile nature of
cryptocurrency markets means that significant divergences from past
trends can still occur. Featured image created with DALL-E, Chart
from TradingView
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