Bitcoin and related cryptocurrency stocks experienced a decline on the final trading day of September, following a rally the previous week. Despite this retreat, they remain on course to register a positive performance for the month.
According to Coin Metrics, Bitcoin’s value decreased by 3.5%, settling at $63,612.63, after briefly surpassing the $65,000 mark the prior week. In premarket trading, shares of cryptocurrency exchange Coinbase fell by 3%, while MicroStrategy, a business intelligence company with significant Bitcoin holdings, saw its stock slide by 5%.
The market shift comes as investors prepare for potential strikes at ports along the East Coast and the Gulf Coast, which could impact the economy ahead of the holiday season.
Notably, Bitcoin is on track to achieve its best September performance to date. Over the week ending September 27, Bitcoin increased by approximately 5%, with global crypto exchange traded product inflows reaching their highest level since mid-July. During this period, Coinbase and MicroStrategy stocks appreciated by 12% and 21%, respectively, with both experiencing a 6% jump on Friday.
Data from the Bitwise-owned ETC Group reveals that last week’s net buying volume of U.S. Bitcoin ETFs (16,774 BTC) exceeded the typical one-month supply of newly mined Bitcoin (13,500 BTC), driven by a policy reversal from the People’s Bank of China.
For September, Bitcoin is set for an 8% gain, marking back-to-back positive performances in what is traditionally its weakest month. Coinbase is expected to close the month with a 4% gain, despite being nearly 14% down for the quarter. Analysts predict that this downward trend could persist. Conversely, MicroStrategy is up 33% for the month and 28% for the quarter.
The market is entering a period that is seasonally favorable for cryptocurrencies and risk assets in general. Bitcoin’s role—whether as a store of value or a risk asset—continues to be debated. Currently, its correlation is more closely aligned with the S&P 500 than with gold. Investors anticipate benefits from potential rate cuts, post-U.S. presidential election clarity, and a generally favorable market environment encouraging inflows into crypto ETFs.
