When to shop for Bitcoin? – the most straightforward day to shop for BTC
It’s probably the most critical question for each Bitcoin investor: When should I buy BTC, and when should I sell it? – The goal is presumably to shop for Bitcoin at a ‘low’ price and sell it at a ‘high’ price after a particular period of your time. The keyword here is market timing. But how should a trader or HODLer know when maybe a blast to shop for Bitcoin?
In this article, we show when – from a statistical point of view – is that the best time to shop for BTC.
When is the best time to buy Bitcoin?
The data set consists of the hourly Bitcoin prices of the past two years. The precise period is from 06.02.2018 to 06.02.2020. The Coinbase rates were used as a data source. The info was then ‘broken down’ to the individual weekdays. This enables us to calculate the typical highest and lowest prices for every hour of the day. Furthermore, the standard opening and shutting prices are often calculated. For instance, to estimate the typical opening price for a Monday at 13:00, the average of all opening prices of the last two years were calculated on a Monday at 13:00.
Using this data, we have already got good indicators to work out when it is that the best time to shop for Bitcoin. Considering that every point in time only occurs once every week and finding the info of the last two years (104 weeks), there are precisely 104 values for every point in time. Longhash has deliberately chosen only the previous two years to reflect the state of ‘modern’ Bitcoin. Enough methodology – let’s revisit the question of when is that the best time to shop for Bitcoin.
Buying Bitcoin on a Friday looks like an honest idea
The final evaluation of the results is often seen below. You’ll also find an interactive version of the graphic by clicking here. Well, what do the results of the analysis tell us?
The chart shows a clear trend. We see that the typical lowest price (and therefore the most straightforward opportunity to shop for Bitcoin) was reached on a Friday. The Green Line representing the average lowest price finds its low point Friday at 6 AM UTC. This corresponds to 7.00 AM consistent with our ‘time calculation’.
We can also note that on Thursdays and Fridays, the Bitcoin price tends to be less than on other days. So if you would like to shop for Bitcoin, you ought to choose one among them lately. On the opposite hand, we ask ourselves the question when not (!) to buy for Bitcoin.
BTC prices tend to be higher on a Monday
The chart shows us that BTC prices are higher both on Monday evening and Tuesday morning. If we glance at the typical Bitcoin price, for instance, on a Monday in the dark, it’s USD 170 above at our Friday evening low. Therefore the difference is – a minimum of consistent with the statistical analysis – significant.
However, it must be emphasized that these are averages. A mean is simply a mean; then there could be outliers on select days. In short: they describe the trend of the last two years but aren’t a ‘panacea’ and positively not a tool to predict Bitcoin prices.
Furthermore, we must note that the averages don’t predict or parameterize significant trends. Events, whether positive or negative, can quickly magnify the validity of such forecasts. Nevertheless, the analysis gives us a realistic idea of when it’s most worthwhile to shop for Bitcoin from a historical perspective.
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