An analyst has explained how the worst may be behind Bitcoin, and Q4 could bring back bullish momentum if history is anything to go by.
Q3 has historically been the worst time for Bitcoin investors
In a new publish On X, Capriole Investments founder Charles Edwards spoke about how investors are experiencing the worst moment for Bitcoin. Below is the table cited by the analyst, which details the quarterly returns that the cryptocurrency has achieved throughout its history.
As you can see, the third trimester The year has generally been the worst time for Bitcoin in history, with average returns for the month of +5% and median returns of -4%
For perspective, the worst performing Q2 tends to be Q2, but its mean and median returns of +27% and +7%, respectively, are still significantly better than Q3’s.
On the other side of the spectrum is Q4, the next quarter of the current year. Bitcoin had its best periods in this quarter, with average and median returns of +89% and +57%, respectively.
“If you’re still here, congratulations. You’ve made it through the worst time to be in Bitcoin,” Edwards says in the post about BTC traders. “The best is yet to come.”
Last year, the cryptocurrency saw a surge of nearly 57% in this period. With Q3 fast approaching its close, it remains to be seen how BTC’s price will end Q4 this time around.
Speaking of historical patterns, network analyst Checkmate discussed how was the daily distribution of price performance bear and bull markets at a station X.
Here is the chart shared by the analyst:
As displayed in the chart above, around 28% of bear market days saw the asset trend up by more than +1%, while around 38% saw the trend down by more than -1%. The remaining 34% of days saw the cryptocurrency remain between +1% and -1% from the previous day.
During bullish periods, Bitcoin spent 33% of the days witnessing an increase of more than +1%, while 26% saw a drop of more than -1%. The assets were consolidated in the remaining 41%.
The symmetry between the three types of days is interesting, but what is striking is how the distributions are almost the same between bear and bull markets.
“Day traders are trying to beat a three-sided coin, with one-third of all days going up, one-third selling and one-third doing nothing,” notes Checkmate.
BTC Price
Bitcoin has shown a sudden burst of bullish momentum over the past 24 hours, with its price rising by over 5% to reach the $60,900 level.
