Bitcoin and Ethereum experienced a substantial decline in November, with prices dropping approximately 20–25%. Analysis of trading patterns indicates that the majority of this selling pressure originated during European trading hours. In contrast, markets in the U.S. and Asia remained largely flat throughout the month, showing minimal net movement despite the broader volatility.
This timezone-specific behavior suggests that European traders were the primary catalysts for the month-long sell-off. While various factors, such as regional economic data or a general risk-off sentiment within European financial markets, could have contributed to this trend, the data clearly demonstrates that most of the selling activity occurred while European markets were open.
U.S. and Asia Markets Showed Stability Amidst European Volatility
Remarkably, while European traders were actively selling digital assets, their counterparts in the U.S. and Asia did not exhibit similar patterns. Both the U.S. and Asian markets maintained more stable trading conditions, with negligible net price changes over the course of November. This divergence in trading behavior offers a new perspective on how global market dynamics can influence cryptocurrency prices differently based on the time of day and regional trading activity.
For investors and market analysts, understanding this timezone-specific market behavior could prove invaluable for gaining deeper insights into short-term price fluctuations and for refining trading strategies to account for these patterns.
Bitcoin logged one of its weakest Novembers since 2018. Presto Research’s timezone analysis shows the month’s sell-off was driven mainly by European trading hours, while Asia and the U.S. were roughly flat. BTC and ETH fell ~20–25% over the month.
Historical Context of November's Weak Performance
Historically, November has presented a varied performance for Bitcoin. The significant decline observed in 2023 marks the weakest November performance for the cryptocurrency since the major bear market of 2018. This event serves as a potent reminder that even within broader upward market trends, sharp corrections can still occur. With both Bitcoin and Ethereum losing approximately a quarter of their value, November delivered a clear cautionary signal to short-term traders who might have been anticipating end-of-year rallies.