Here’s Why Bitcoin (BTC) Will Probably Trade Sideways Through September


While last week’s headlines were largely focused on¬†Ethereum (ETH) and its ongoing sell-off, little attention was paid to the price action of Bitcoin¬†(BTC).

Bitcoin ended the week up 2.5% with significant stability over the period. In fact, the price of Bitcoin has been so stable that it is rapidly approaching the lowest period of volatility in nearly 16 months.


While it may come as a surprise that Bitcoin has been so stable as other major digital currencies have been volatile, a look at upcoming events helps shed some light on the recent price action.

Specifically, the September 30 SEC announcement regarding its the decision to allow or deny the listing of the Cboe VanEck/SolidX ETF backed by Bitcoin has largely loomed over investors throughout the first half of September.

While its highly unlikely that the SEC will actually list the ETF, due largely to the overarching market volatility that is still prone to manipulation, major investors are likely waiting¬†for the event to determine if the denial is baked into the current price. If this is the case, a denial or even a deferral could help spur some positive price action as investors look to “move on” from the ETF drama of the summer.

Interestingly, the current fair value of Bitcoin is supposedly 12% higher than where it stands today, according to a recent Fundstrat analysis that broke down the average cost of mining 1 BTC. Coupled with the number of bullish headlines in the previous weeks, there is plenty for investors to consider before trading over the next few weeks.

As a result of Bitcoin’s low-volatility, the larger market has been relatively flat over the last 7 days. The¬†AltDex¬†100 Index¬†(ALT100), a benchmark index for large-cap cryptocurrencies and tokens, finished the week up nearly 3%. These gains were primarily driven by bullish moves by major constituents, including Tezos (XTZ), which will launch its mainnet¬†on Monday.

AltDex 100 Index
In-Depth: Here’s How to Trade the SEC’s Next Bitcoin ETF Decision

Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.

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