Bitcoin Trades Around $107K Amid Start of Crypto’s Slump

Dogecoin (DOGE) led losses among major cryptocurrencies, falling 4.5% in the past 24 hours ahead of the U.S. Labor Day holiday.

Bitcoin (BTC) opened September near $107,000, but history suggests the month may be challenging. Over the past 12 years, September has been Bitcoin’s weakest month on average, with a median decline of around 5% and an average loss close to 6%.

MicroStrategy’s declining premium over Bitcoin has added to concerns, highlighting growing doubts about corporate crypto strategies. Nick Ruck, director at LVRG Research, said:

“MicroStrategy’s recent difficulty maintaining its Bitcoin premium reflects broader market skepticism about treasury models focused solely on crypto accumulation. This trend may be intensified by September’s historically bearish performance.”
“The cooling interest signals a maturing market where structural risks and competitive pressures are prompting a reassessment of what truly drives long-term value beyond Bitcoin exposure,” Ruck added.

Investors are watching Federal Reserve signals closely. Expectations of potential rate cuts in September could ease some seasonal headwinds, while fresh ETF outflows or another equity selloff could reinforce historical weakness, possibly pushing BTC toward $100,000 support.

Other major tokens also posted declines. Ethereum (ETH) dropped 1.7% to $4,390, Solana (SOL) fell 3.4% to $197.60, XRP slipped 4.3% to $2.72, and Dogecoin (DOGE) retreated 4.2% to $0.214, reversing gains from last week.

Looking at the historical record, Bitcoin has closed September in the red eight out of twelve years since 2013, including steep losses such as 19% in 2014 and 13% in 2019. Even during bull cycles, September rallies have generally stalled, with only 2015, 2016, and 2023 showing modest gains of 2–7%.

Seasonality plays a key role in market sentiment. This concept refers to recurring patterns in asset prices throughout the year, influenced by factors like profit-taking around April–May tax season and the traditional December “Santa Claus” rally.

While seasonal weakness is not unique to crypto—equities often show similar trends—Bitcoin’s higher volatility tends to make these patterns more pronounced, keeping September under close scrutiny by traders.