Bitcoin’s red month is almost here, and as we approach yet another September, is it inevitable that prices will dwindle? Let’s take a look at some of the reasons the ninth month of the year is historically bad for Bitcoin.
Why September is historically Bitcoin’s red month
Since 2013, September has proven to be a challenging month for Bitcoin, with losses in eight of the last 11 years. That could be because retail investors typically take profits after summer rallies or even crypto to cover their fall expenses, like tuition fees and tax planning.
Bitcoin’s red month may also be something of a self-fulfilling prophecy as traders expect red candles and act more defensively, pulling the market down further. Perspective here is important, as most September pullbacks have been modest.
The month typically marks a local bottom, after which Bitcoin often rebounds strongly into ‘Uptober’ as Q4 historically brings recovery and, in even massive rallies. In October 2020, for example, Bitcoin surged from around $10,800 at the start of the month to over $13,800 by the end, marking a gain of more than 27%.
August recap: all-time highs and whale sightings
August 2025 was dramatic by any measure. Bitcoin surged to an all-time high of $124,533 on August 14, only to tumble 11% to lows hovering around $110,000 just two weeks later.
Nearly $200 billion in market value evaporated, with a single event triggering the drop: a previously dormant whale that sold ~24,000 BTC, pushing the spot price below $109,000 and sparking the largest liquidation cascade of the year.
Almost $900 million in derivative positions were wiped out, 90% being bullish longs, with $150 million in BTC and $320M in ETH liquidated. Ethereum showed relative strength, remaining above its 100-day moving average even with an 8% decline.
The recent weakness wasn’t just about technicals or sentiment. Spot and derivatives market order books remained thin, so any major sell (like the whale dump) was enough to amplify price volatilit
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Author: Christina Comben
