• The crypto market is approaching yet another monthly close, which is largely expected to be bullish.
• Historically, February has been a positive month for the crypto markets with an average gain of 187.83% since 2011 with an average of 12.52% per year.
• However, March has historically been bearish and a bearish close in February could fuel the bear market sentiments.
Crypto Markets Live: Is a Bullish February Close An Indication of the Start of a Bull Run?
Positive Price Action in February
The crypto market is approaching yet another monthly close, which is largely expected to be bullish. The month of February has recorded significant gains despite the trend of the previous month, potentially indicating that the crypto markets may have moved beyond its bearish captivity. Looking at historical price action from 2011 onwards, it can be seen that on average, February brings in an average gain of 187.83%, equating to approximately 12.52% per year. Excluding 2018’s deep bear market where heavy losses were witnessed within the first few weeks, most years saw substantial profits throughout December and January for the rest of the year into 2021’s bull run. Unfortunately though March has historically been bearish and this could spark fear into investors if February ultimately closes with a negative return on investment (ROI).
Potential Impact on Crypto Markets
If we analyze what happened during last year’s Q2 period compared to this current one then we may get some clarity as to how this will affect prices over time – 2020 saw huge gains compared to 2021’s 2.12%. Because April typically follows suit after March (in terms of either positive or negative returns) it would be beneficial if prices remain strong until at least February’s close so that we have more chance at generating higher returns moving forward into Q2 2021 and beyond .
Historical Trends Show Bitcoin Prices are Becoming Unpredictable
It’s clear that Bitcoin prices are becoming increasingly unpredictable day by day as price movements can seemingly show no correlation between one another over short periods – this makes predicting which direction future prices may take incredibly difficult . Additionally , March has been traditionally bearish over recent years and if February ends negatively then this could heavily influence investor sentiment going forward potentiality leading us back down into a deeper bear market .
The conclusion drawn from this article is that although February appears set to end positively , there is still much uncertainty surrounding whether or not this bullish trend will continue into April , May , June etc . If history repeats itself then we will likely see further downward pressure in coming months should investors become too cautious when investing their funds . It will ultimately depend on how long these current gains can sustain themselves before they begin to fizzle out again – only time shall tell !
Key Takeaways From This Article:
• The historic data suggests that on average , Febuaray brings in an average gain of 187 % since 2011 with an average ROI of 12 % annually excluding 2018’s deep Bear Market . • March has traditionally been bearish for many years , so if cryptocurrency prices do not remain strong until Feburary’s close then there could be more chances for downside movement moving forward into Q2 2021 . • Bitcoin prices are becoming increasingly unpredictable making predicting future price movements very difficult however careful analysis & monitoring can help better understand these trends thus helping investors make more informed decisions when investing their funds .