Bitcoin’s historical performance in February favors bulls, opening the gates for a possible rally above $45,000. Will altcoins follow?
The launch of Bitcoin (BTC) exchange-traded funds (ETFs) in January failed to boost prices as traders focused on the outflows from the Grayscale Bitcoin Trust (GBTC), ignoring the net inflows into the remaining ETFs. This shows that the traders sought to sell the news and book profits on their positions.
However, a positive sign is that Bitcoin did not stay below the $40,000 level for long. This indicates that lower levels continue to attract investors. Buying on dips and selling on rallies may keep Bitcoin inside a range for a few days. The next major catalyst for Bitcoin is the halving in April.
Another positive in favor of the bulls is that Bitcoin has produced an average monthly gain of about 12% in February, according to CoinGlass data. Since 2013, Bitcoin has ended February with a negative monthly return only in 2014 and 2020.
