Bitcoin Faces Tough Times Ahead In Usual 33rd Week Dip
By: Eliza Bennet
Bitcoin Struggles in 33rd Week of the Year
The cryptocurrency market is experiencing turbulence as Bitcoin dips below $60,000, continuing a trend observed in the 33rd week of the year. Historical data from Coinglass indicates that this period has traditionally been challenging for Bitcoin. Over the past decade, Bitcoin has typically declined by an average of 1% during this time, with 2013 being an exception due to its strong performance.
Previous records show significant downturns, including double-digit drawdowns in the 33rd week in recent years. The 31st week saw a 15% drop, and Bitcoin briefly touched $49,000 in the 32nd week, marking a considerable 38% decline from its all-time high. The current downturn accentuates historical patterns, raising concerns among investors and analysts.
| Year | 33rd Week Performance |
|---|---|
| 2024 | -0.21% |
| 2023 | -10.57% |
| 2022 | -11.49% |
| 2021 | +4.77% |
| 2020 | -2.19% |
| 2019 | -1.90% |
| 2018 | +2.71% |
| 2017 | +0.05% |
| 2016 | +2.07% |
| 2015 | -12.07% |
| 2014 | +2.66% |
| 2013 | +13.96% |
| Average | -0.98% |
Ethereum Follows Suit
Ethereum is also showing a similar negative pattern during the 33rd week, with an average decline of 5% since 2016. This trend indicates that the challenging environment for cryptocurrencies is not isolated to Bitcoin alone.
| Year | 33rd Week Performance |
|---|---|
| 2024 | +1.18% |
| 2023 | -8.42% |
| 2022 | -16.39% |
| 2021 | -2.13% |
| 2020 | -9.97% |
| 2019 | -4.41% |
| 2018 | -5.91% |
| 2017 | +0.54% |
| 2016 | +0.39% |
| Average | -5.01% |
Inflation data from the US, due to be released on Aug. 13 and 14, could influence market sentiments. Forecasts from Trading Economics indicate a slight decrease in the headline year-over-year inflation rate to 2.9%, with core inflation expected to fall to 3.2%. These figures, coupled with the results from Q2 earnings reports, may provide additional context for market fluctuations.
Institutional Influence
Despite the bearish trend, institutional buying has played a role in Bitcoin's recent behavior. However, data from Coinshares reveals a slowdown in crypto investment products, which saw $176 million in inflows last week. The initial purchasing enthusiasm appears to have waned, signaling cautious optimism among institutional investors.
