US President Donald Trump’s announcement of 100% tariffs on China severely shook the cryptocurrency market, along with global markets. Bitcoin’s price quickly plummeted to $102,000, leaving investors confused by the perception that October is typically a bullish month.
Cryptocurrency analyst Timothy Peterson shared a striking analysis, noting that this decline is historically rare. According to Peterson, drops of more than 5% in October have only occurred four times in the last 10 years:
- October 24, 2017
- October 11, 2018
- October 23, 2019
- October 21, 2021
Peterson also shared how the Bitcoin price trended 7 days after these dates:
- 2017: 16% increase
- 2018: 4% increase
- 2019: 21% increase
- 2021: 3% decline
This data suggests that historically, sharp declines in October are often followed by short-term recoveries. However, analysts warn that the impact of Trump’s trade policies on the market this time around could be different than in previous years.
*This is not investment advice.