- Kraken has suggested that September is anticipated to bring heavy negative returns for BTC.
- And currently it is trading at $10,106.43 and is down by 1.73% in the last 24 hours.
- The report revealed that historically September is supposed to be BTC’s worst performing month.
The most valuable cryptocurrency, Bitcoin in the world is currently facing major pullbacks in its prices. The crypto opened at $11500 this week but gradually lowered to the $10200 level. And currently, it is trading at $10,106.43 and is down by 1.73% in the last 24 hours. However, in a recent volatility report by the cryptocurrency exchange, Kraken has suggested that September is anticipated to bring heavy negative returns for BTC.
Average Returns Anticipated to be Less than 7%
The report revealed that historically September is supposed to be BTC’s worst performing month. The average return this month is anticipated to be -7%. It also added that if BTC continues to underperform the average monthly returns this year, it is likely that the average return this month may fall down the -7% expected mark. The report added that it has been seen that before rising to the average 140%, the volatility generally falls down to the 15% and 30%. And as of the month August, it has been 38 days since the cryptocurrency faced the lowest volatility of 23%. The volatility has gradually climbed to 44% over the month. As of August, the average price was up by 25%.
Revival of Bitcoin’s Dominance may be Ahead Suggests the Report
Moreover it highlights the Bitcoin dominance in the months to come. The report said that since the start of 2020 many other altcoins have been trying to compete with BTC and top the charts in terms of dominance. And not to mention, the much hyped DeFi boom has also contributed to the competition. However, it is highly probable that BTC may again turn the tables to reclaim its dominance in the crypto market.
Holders Increase as the Number of UTXO Inactive for a Year Record a High of 63%
And lastly, the Kraken report mentions the Hodl Wave as the Unspent Transaction Outputs (UTXOs) that are not moved for over an year records a high of 63%. The stats only signal to the fact that most of the BTC investors prefer holding the asset for a long term. As mentioned by Kraken, the cryptocurrency has a big room for volatility improvements and can generate very high returns in the coming month.