ETF Flood Fuels August Rally, But Will September Bring Bitcoin Bear?

The Bitcoin price rose by 24.95% in August due to US spot Bitcoin ETFs taking in $3.52 billion during that month, according to SoSoValue data.

This is a significant increase from previous months, with the funds losing a net $5.30 billion across January to July. However, the historical pattern suggests that following months like this have been bearish for Bitcoin.

Twelve months since these funds launched have drawn $3 billion or more, and in seven of those cases, the price fell in the month after.

The average return in those following months is 0.13%, compared to 2.93% for an average month. Additionally, Bitcoin has historically closed August green only twice since 2020, with September falling by 7.30% and 7.96% on both occasions.