Bitcoin May Be Hurt By Weakening US Dollar
Bitcoin has done well this year — opening at $59,130.31 on Tuesday, up from $44,187.14. B
But analysts are worried about the fragile support in what’s usually a rocky month for the digital coin.
“September has traditionally been a volatile month for bitcoin, with an average return of 4.78% and a typical peak-to-trough decline of 24.6%,” analysts with the Bitfinex crypto exchange told Forbes via email.
If the Fed issues the highly anticipated cuts, Bitcoin could tumble below $40,000 again, Bitfinex analysts warned.
“While we remain optimistic about digital assets’ mid- to long-term prospects, the current evidence calls for caution,” said Markus Thielen, the chief executive of 10x Research, in a note.