April Expected to Bring Potential Gains for Bitcoin Despite Recent Sell-Off

The cryptocurrency market has seen a decline of over $160 billion since Friday, driven by:

Trump's tariff threats
Global economic concerns
Lack of clear catalysts for growth

Historically, April has been a strong month for cryptocurrencies, particularly Bitcoin, which has averaged a 27% return since 2010. This positions April as the third-best month for returns.

Analyst Omkar Godbole notes that while seasonality is not always reliable, it may indicate a positive trend, especially with long-term holders ceasing selling activity.

A potential risk is the transfer of significant amounts of Bitcoin from the defunct exchange Mt. Gox to centralized exchange wallets, which could lead to temporary selling pressure and increased market volatility, according to Deribit CEO Luuk Strijers.