ADVFN Logo ADVFN

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for monitor Customisable watchlists with full streaming quotes from leading exchanges, such as LSE, NASDAQ, NYSE, AMEX, Bovespa, BIT and more.

Is October the Crypto Calendar's Golden Month?

Share On Facebook
share on Linkedin
Print

October has historically been a favorable month for the cryptocurrency market. In the last decade, the global crypto market capitalization has seen positive growth in eight out of ten Octobers. These monthly gains ranged from a modest 7.3% in 2022 to a substantial 42.9% in 2021. While there were exceptions in 2014 and 2018, with declines of 12.7% and 8.3% respectively, the overall trend suggests a consistent “Uptober” effect.
Over the past ten years, October has averaged a healthy 14% month-over-month increase in total crypto market capitalization. This pattern largely aligns with the performance of Bitcoin, which often plays a pivotal role in driving the broader market’s momentum.

©

Uptober: A Monthly Phenomenon
While October has often been a bullish month for cryptocurrencies, the “Uptober” effect is less pronounced when viewed on a year-to-date (YTD) basis. Over the past decade, only six years have seen October outperform January, with YTD gains ranging from 58.9% to a staggering 879.6%. Conversely, in the remaining four years, the market experienced a “Downtober,” with YTD declines ranging from 5.8% to 67.2%.

This analysis suggests that short-term traders might find the Uptober effect more reliable than long-term investors. While October’s monthly gains can be substantial, the potential outcomes over a longer period are more varied.

Source: create.vista.com

Source: create.vista.com

2023: A Year of Uptober
In 2023, the crypto market continued the Uptober trend, with a monthly gain of 18.1% and a YTD increase of 58.9%. This marks the fifth consecutive October with positive performance. The Uptober rally propelled the total crypto market capitalization above $1.3 trillion for the first time since mid-April, signaling a resurgence after a period of low momentum.

Uptober: Not Always a Smooth Ride
While October has often been a bullish month for cryptocurrencies, the “Uptober” effect doesn’t always translate to consistent gains. In six of the eight years that experienced an Uptober, the market experienced short-term downturns during the month. These pullbacks ranged from minor corrections of 0.1% to more significant drops of 4.1%.

In 2022, for example, the market faced selling pressure for the majority of October, only to rebound sharply in the final week. Similarly, in 2023, a brief dip occurred between October 10th and 16th, with the total crypto market capitalization declining by 0.4% to 2.9%.

The exceptions to this pattern were 2015 and 2021, which saw consistent upward momentum throughout October, resulting in “up-only” Uptobers.

Learn from market wizards: Books to take your trading to the next level

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Comments are closed

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com