Coinbase: August is traditionally a difficult month for the crypto market

Seasonality did not usually work in cryptocurrencies' favor in August," Coinbase analysts David Duong and David Han wrote in their regular report.
They also noted the low activity of market participants in the last month of summer. For example, in August 2023 bitcoin spot volumes fell by 19% compared to June of the same year. Futures volumes for the flagship currency also declined by 30% on major centralized exchanges.
Bitcoin has shown an average decline of 2.8% during August over the past five years, and the drop in liquidity and trading volumes could lead to increased volatility in the last month of summer, analysts said.
Such conclusions were supported by other experts. For example, the head of derivatives at Bitfinex exchange Jag Kuhner said that in August 2024 there could be a lack of liquidity in many cryptocurrencies. One of the reasons for this will be seasonality.
We are currently seeing significant buying barriers erected at the range lows of several altcoins. We also expect the bitcoin price to fluctuate between $61,000 and $70,000, providing an accumulation zone," said Kuhner.