Investors in Bitcoin and cryptocurrencies are focused on the interest rate decision that the FED will announce tomorrow. While the FED is expected to start the interest rate reduction cycle by making its first interest rate cut, uncertainty continues about the size of the reduction.
While analysts expect an increase following the FED's interest rate decision, an updated assessment came from crypto analysis company Matrixport.
Analysts, who stated that September has historically been a bearish month for BTC, said that the declines experienced by Bitcoin in September could pave the way for the rise in the 4th quarter.
Analysts stated that Bitcoin's recent upward trend could lead to a better-than-expected performance, and that with the FED interest rate cut and the strong performance of the US stock markets, BTC could also perform better than expected.
Pointing to October for a stronger rally, analysts wrote:
“Historically, September has been a weak month for Bitcoin. However, Bitcoin’s recent bullish trend suggests that this month could be as good as some are expecting.
With a potential US interest rate cut and strong stock market momentum, Bitcoin could perform better than expected.
“Since October is typically the strongest month for Bitcoin, investors could use the declines in September to position for further gains in Q4.”
*This is not investment advice.