Bitcoin’s exuberant two-month rally holds a warning for investors

February’s jump in the biggest digital token has withered to about 2% and pales in comparison to January’s 39% surge, data compiled by Bloomberg show.

February’s jump in the biggest digital token has withered to about 2% and pales in comparison to January’s 39% surge, data compiled by Bloomberg show.

There have been five similar instances since the 2020 pandemic low when Bitcoin climbed over two consecutive months, but with a smaller gain in the second stanza. It pulled back in the third month in four of those cases, with an average loss of 5.8%. The only exception was a period until February 2021, when the token was in the middle of a strong bull run.

There have been five similar instances since the 2020 pandemic low when Bitcoin climbed over two consecutive months, but with a smaller gain in the second stanza. It pulled back in the third month in four of those cases, with an average loss of 5.8%. The only exception was a period until February 2021, when the token was in the middle of a strong bull run.

Bitcoin ended in the red on Sunday for the third week in four, hurt by the prospect of higher interest rates to curb inflation. A reduction in regulation in the US following the collapse of the FTX exchange is also putting pressure on the sector.

Bitcoin ended in the red on Sunday for the third week in four, hurt by the prospect of higher interest rates to curb inflation. A reduction in regulation in the US following the collapse of the FTX exchange is also putting pressure on the sector.

“It’s not surprising that the market saw some corrections” last week, wrote Noelle Acheson, author of the “Crypto Is Macro Now” newsletter, citing dollar strength in part amid bets on higher borrowing costs.

“It’s not surprising that the market saw some corrections” last week, wrote Noelle Acheson, author of the “Crypto Is Macro Now” newsletter, citing dollar strength in part amid bets on higher borrowing costs.

Bitcoin was down about 0.6% as of 7:43 a.m. in London on Monday to about $23,430. Second-ranked Ether fell 0.4% to $1,636.

Bitcoin was down about 0.6% as of 7:43 a.m. in London on Monday to about $23,430. Second-ranked Ether fell 0.4% to $1,636.

SOL, the original token of the Solana blockchain, underperformed with a slide of as much as 2.5%. Solana suffered an hour-long outage over the weekend — the latest in a series of outages, technical issues and processing issues that have plagued the network since its 2020 debut.

SOL, the original token of the Solana blockchain, underperformed with a slide of as much as 2.5%. Solana suffered an hour-long outage over the weekend — the latest in a series of outages, technical issues and processing issues that have plagued the network since its 2020 debut.