The second quarter of 2020 was very profitable for bitcoin investors, according to data analytics firm Skew.During the period, the top cryptocurrency climbed 42%, its
fourth-best quarterly close since 2014. For the March quarter, the
digital asset fell 10.6%, dragged by the massive Black Thursday crash.
As a matter of fact, bitcoin declined in three successive quarters
before Q2 2020.
In terms of price, bitcoin (BTC) soared from around $6,420 at the beginning of April to more than $9,140 at the end of June, Skew figures
show. The coin has, however, struggled to break the psychological
$10,000 level in a quarter in which Bitcoin underwent its scheduled
supply cut.
Despite the sharp rise, this is not bitcoin’s biggest
Q2 gain in the past seven years. Investors pocketed profits of 158% and
125% for the second quarters of 2019 and 2017, respectively. In 2016, Q2
gains came in at 62%.
According to Skew, third quarters have been
historically more challenging for bitcoin. With the exception of “2017
vintage” when the BTC
price surged 80%, thanks to that year’s phenomenal rally, and another
2.9% gain in 2018, Q3 performances have remained in the red for the last
seven years.
While
poor performance may not be valid for Q3 in all years, pundits expect
2020 to show little difference. That’s largely because BTC transaction volumes have not increased in recent days while it’s 60-day moving average has not improved.
There’s
still optimism in some quarters, however, that Bitcoin’s third halving
will lead to an increase in the price of the benchmark cryptocurrency in
this quarter and beyond. A number of analysts’ predictions put BTC at a price of $20,000 by year-end.
At the time of writing, each BTC is trading at $9,191, down 0.16% over the last 24 hours, according to data from markets.bitcoin.com.
source link : https://news.bitcoin.com/bitcoin-investors-pocketed-42-in-gains-during-the-second-quarter-of-2020/
