The past month has seen relatively little action in the cryptocurrency markets. Specifically, the cryptocurrency markets have traded mostly sideways the last few weeks. Nevertheless, November is usually a bullish month for the crypto markets.
Will the price of Bitcoin fall in November?
As such, it would seem unusual for the cryptocurrency sector to continue trading sideways during the rest of November. Moreover, some cryptocurrency observers believe that this inactivity will mostly continue for the rest of the month.
This comes as Bitcoin has dipped to trade around $8,816 at the time of writing. On October 25th, Bitcoin saw a flash surge to a peak of $10,500 before dropping again to around $9,000. Ever since this, Bitcoin has been trading mostly around the $9,000 line, but it is now clear it has fallen below this.
In addition to this, other observers believe that the price of Bitcoin could continue to drop. If Bitcoin fails to garner support among buyers and the price decrease continues, some point to $8,300 as a potential price level with enough support to stop a potential decline.
As always, it is worth pointing out that the wider cryptocurrency markets shows a strong correlation with the price of Bitcoin. Although this correlation is not perfect, it indicates that the wider cryptocurrency market may likely see some inactivity, or potentially price drops, in the coming weeks.
November is usually one of the best months for Bitcoin
With that said, however, this would be somewhat atypical – both for Bitcoin and other cryptos. The end of the year is oftentimes a bullish time for cryptocurrencies. Perhaps the most notable example of this is the bullish surge seen during the end of 2017, when a Bitcoin rally took the premier crypto to its all-time high of $20,000.
As such, some are arguing that the bearish price predictions seen for November could be inaccurate. For example, the managing partner of Blocktown Capital, James Todaro, recently took to Twitter to emphasize this:
”November has been historically one of Bitcoin’s greatest performing months dating back to 2012. November 2018 was the main (and memorable) exception. BTC is presently up only 1.5% for November 2019… What will the next 3 weeks bring?”
Along with this, Todaro weeded the above picture with charts over Bitcoin’s November gains.. This points to the possibility that Bitcoin, and the wider crypto market with it, could break out in November.
After all, the historical data appears to suggest Bitcoin might see a dramatic November boost. At the same time, one should note that historical trends to not always dictate future development.
Rasmus Pihl is a writer for Toshi Times by day and an avid follower of the cryptocurrency industry by night. Rasmus holds a Bachelor’s Degree in Marketing from the Gothenburg School of Business, Economics, and Law and runs a Swedish marketing consulting firm. Moreover, when he isn’t writing for Toshi Times, traveling, working or changing the world in some other capacity, Rasmus is more than likely caught up in postgraduate studies.