Cryptocurrency bitcoin has fallen by more than 4% overnight

On the night of Friday, September 1, the flagship of the cryptocurrency market showed a sharp decline, falling by 4.6%. At the time of writing, bitcoin is trading at $ 25,986.

According to CoinGecko, the value of the entire cryptocurrency market fell by 3.3%, reaching $ 1.09 trillion. Ethereum plunged to $ 1,645, losing 3.5%. Cardano (ADA) and Solana (SOL) also suffered losses over the past 24 hours. They fell 3% to $ 0.256 and 4.5% to $ 19.83, respectively.

The RSI index fell to 36.5, indicating that bitcoin is oversold. Experts believe that the cryptocurrency has returned to its fundamentals and can count on support at $ 26,000. According to analysts, the market has entered a new phase of consolidation, which may last until mid-September unless a factor emerges that can bring back turbulence.

Bitcoin's returns broken down by months

September has had the least number of positive-returning months at just two and is on a 6-year negative-returning streak. pic.twitter.com/4VqZkMubm3

— Will (@WClementeIII) August 31, 2023

According to historical data, over the past 13 years, bitcoin’s monthly return at the end of September has closed in the red 9 times. According to cryptocurrency analysts, this year’s September drop will be repeated. Material Indicators warns that a «complete rollback» of the profits made after Grayscale’s victory over the SEC is a likely course of action for the market leader.

As a reminder, analyst Tom Lee, who regularly comments on bitcoin prices, predicted what will lead to the growth of the flagship digital asset. The expert is convinced that the adoption of a bitcoin ETF will lead to an increase to $ 185,000 and higher. The analyst also predicted the value of bitcoin in case the financial instrument is not approved. According to him, BTC will still grow due to the halving that will take place in the spring of 2024.