Bitcoin's red month; why September still shapes the crypto cycle

Historically, September has been a challenging month for Bitcoin, with losses in eight of the last 11 years, earning it the nickname “red month.” This trend may stem from retail investors taking profits after summer rallies or covering fall expenses, as well as a self-fulfilling prophecy where traders’ defensive actions amplify downturns. Despite modest pullbacks, September often marks a local bottom, followed by strong recoveries in October (“Uptober”), as seen in 2020 when Bitcoin surged 27%. In August 2025, Bitcoin hit an all-time high of $124,533 but fell 11% after a whale sold ~24,000 BTC, triggering a $900 million liquidation cascade. Thin order books and macroeconomic uncertainty, including anticipation of U.S. Federal Reserve policy moves, contributed to volatility. On-chain data showed reduced inflows, weakening bid support. Show Less