After starting the month at $24,000, the Bitcoin/US Dollar pair has lost 14% this month.
CZ mentioned that it’s been five years since bitcoin hit $20k for the first time.
If current trends continue, Bitcoin (BTC) might have its worst August performance since the 2015 bear market next month. According to the on-chain analytics platform Coinglass, the BTC/USD pair has not experienced a worse August in seven years.
Bitcoin holders’ anxiety is warranted after two consecutive price drops, but September has a history of being much worse than August. After starting the month at $24,000, the Bitcoin/US Dollar pair has lost 14% this month, making August the worst month for BTC/USD since August 2015, when the pair lost 18.67%.
BTC/USDT: Source: TradingView
A “red” month for Bitcoin is already well-known, and average losses since Coinglass records started in 2013 have been about 6%.
Ray of Hope For the Community
In this case, experts’ pessimistic forecasts may be attributed to a confluence of macroeconomic uncertainty and familiar trends. Although the price of Bitcoin (BTC) has dropped to around $20,000, the underlying network fundamentals remain everything but pessimistic.
Despite the prolonged crypto winter, Binance CEO CZ has shared an optimistic tweet. CZ mentioned that it’s been five years since bitcoin hit $20k for the first time. The current value of bitcoin is about $20,000 USD. The price we pay now doesn’t negate the progress and widespread acceptance over the previous five years. Cost is only a reflection of public sentiment and not an indicator of development. Bitcoin will still be there in the next 5 years, but at a different price. This gives a lot of positive energy to traders and hodlers as the crypto winter has been brutal.
Furthermore, despite widespread fears, recent on-chain data reveals that both hash rate and complexity are rapidly increasing. Miners aren’t deterred by the BTC/USD exchange rate’s recent drop of about 7% in a week.