
September is historically weak for crypto, but past patterns suggest strong Q4 gains often follow.
Overall market structure, fundamentals, and historical trends point toward potential strong performance in Q4 2025.
After a volatile few months, the cryptocurrency market is showing signs of renewed strength, and investors are closely watching the horizon for a potential bull run in October 2025. While September has historically been a challenging month for crypto, the recent market dynamics suggest a turning point could be near.
Macro Conditions Supporting Crypto Growth
Experts point to improving macroeconomic conditions in the United States as a key driver for risk-on assets like Bitcoin and altcoins. The U.S. is transitioning from a long contraction phase into an early-stage expansion, which sets the stage for a bullish environment for crypto.
Since bottoming in 2022, the crypto market has shown higher highs and higher lows, indicating resilience. However, prolonged quantitative tightening and higher interest rates delayed the full upside for altcoins. Now, signs of easing are fueling optimism among investors.
September Trends and Historical Patterns
Historically, September has been a weak month for crypto. Bitcoin, for instance, has posted negative returns in eight of the last twelve Septembers, averaging a 3.77% loss. This phenomenon, sometimes called the “RectTimber curse,” often sees capital flowing from altcoins into Bitcoin.
Yet, historical data also points to a silver lining. A weak September often precedes strong performance in October and the fourth quarter. Notably, Bitcoin’s positive performance so far in September 2025, up 4.15% suggests the market could be poised for a strong Q4 run.
Regulatory Developments Bolstering Confidence
Investor sentiment is further supported by regulatory developments in the U.S. The Securities and Exchange Commission (SEC) plans to introduce a digital assets innovation exemption by the end of 2025.
SEC Chair Paul Atkins stated, “The goal is to create a stable foundation for crypto in the United States, allowing innovation to thrive while maintaining investor protection.”
In a recent Bloomberg interview, Mike Novograss from Galaxy Digital said that the market may be shifting from the traditional four-year cycle to a long-term mega crypto cycle. On the political side, the Galaxy CEO highlighted how the next Federal Reserve governor could have a major impact on crypto markets:
“We are moving into a world where we’ve got central banking, independence really is a question. We’ve never had that in my 40-year career on Wall Street. And so, depending on who Trump picks as the next Fed governor, it could kick off a whole frickin’ megacycle, right? We throw the independence into the toilet, and crypto is going a lot higher, right? And so the political situation makes that prediction harder.”
According to him, if Trump appoints someone aligned with his monetary policies, prioritizing growth and liquidity over inflation, crypto could see an unprecedented period of growth, potentially ushering in a new mega cycle for digital assets.
Short-Term Market Movements and Technical Outlook
Despite recent dips, analysts remain optimistic about the near-term technical picture. Ethereum, for example, has been testing price support in the mid-$3,000 range, consistent with expectations.
These short-term moves are not a cause for concern, but a natural part of the market cycle. Considering improving macro conditions, supportive regulatory developments, and historical patterns, October 2025 could mark the beginning of a crypto bull run.
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FAQs
The crypto market’s recent dip is attributed to profit-taking, large liquidations, and cautious investor sentiment ahead of key macroeconomic data releases, like the latest U.S. economic and inflation figures.
Altcoins are currently showing mixed performance, with some like Astar and 0G outperforming Bitcoin, while others have seen sharp declines. Overall, Bitcoin dominance has slightly decreased.
While the broader market is consolidating, some cryptos are showing bullish signs. Recent outperformers include new and mid-cap altcoins with strong narratives, such as Astar, 0G, and Hemi.