Bitcoin has recorded an 8% price increase this September, challenging its historical reputation as the weakest month for the cryptocurrency. This performance marks the second-best September on record and the strongest for the month in 13 years.
The significant gain contrasts with the month's long-term average loss of approximately 8%. This unusual strength occurs within a bull market characterized by remarkably low volatility and less severe price corrections compared to previous cycles.
Key Takeaways
- Bitcoin's 8% gain in September 2025 is its second-best performance for the month ever recorded.
- The only stronger September was in 2012, when Bitcoin saw a 19.8% increase.
- This year's positive return defies the historical trend that has earned September the nickname "Rektember" among traders.
- The current bull market is notable for its low volatility and smaller price drawdowns compared to past cycles.
Defying Historical Trends
September has traditionally been a challenging period for Bitcoin investors. Historical data consistently shows it as the month with the poorest performance, often resulting in significant losses. According to data from analytics platform CoinGlass, the average return for September has been a loss of around 8%.
This year, however, the market has moved in the opposite direction. The 8% gain not only reverses the negative trend but also establishes a new performance benchmark for the current bull market. To find a more profitable September, one would have to look back to 2012, when the nascent asset surged by nearly 20%.
What is "Rektember"?
In cryptocurrency trading circles, September is often called "Rektember." The term is a blend of "September" and "rekt," a slang term for being "wrecked" or suffering major financial losses. This nickname stems from the month's consistent history of negative returns for Bitcoin and other digital assets.
Last year's performance was also positive, but more modest, with upside topping out at 7.3%. The current 8% gain solidifies 2025 as a standout year, raising questions about whether old seasonal patterns still apply to the maturing asset.
An Unconventional Bull Market
The strong September performance underscores the unique characteristics of the current Bitcoin bull cycle. One of the most significant deviations from past cycles is the dramatic reduction in price volatility. Historically, Bitcoin bull markets have been defined by extreme price swings.
In contrast, 2025 has seen volatility decline to levels not witnessed in over a decade. Data from CoinGlass shows a sharp drop in historical volatility, particularly since April. This sustained period of relative price stability is unexpected during what is typically a peak bull market year.
Volatility at a Decade Low
According to market data, Bitcoin's historical volatility has fallen to its lowest point in more than 10 years, a highly unusual development for a bull market phase that is typically associated with rapid price fluctuations.
This low-volatility environment has been a defining feature of the market, influencing trading strategies and investor expectations. While it provides a more stable trading environment, it also contributes to a slower pace of price appreciation compared to the explosive rallies of the past.
Analysis of Price Drawdowns
Further evidence of this cycle's unique nature comes from analyzing price drawdowns, which are the declines from a peak to a trough. Onchain analytics firm Glassnode has highlighted the comparative lack of severity in recent market corrections.
In previous bull markets, it was common for Bitcoin to experience drawdowns of 80% or more from its all-time highs. These deep corrections would often shake out a significant portion of the market. However, so far in 2025, the largest drawdown from an all-time high has been a more manageable 30%.
"The relative lack of volatility nonetheless reflects in bull market performance, with BTC/USD struggling to compete with previous cycles in terms of sheer percentage gains since the cycle low."
This reduced drawdown severity suggests a more mature market with stronger underlying support. Investors appear less prone to panic-selling, and institutional capital may be providing a stabilizing floor for the price.
Performance in a Broader Context
While Bitcoin's stability is a key talking point, its overall performance since the last market bottom has been less dramatic than in previous cycles. Data shows that the current rate of appreciation is lagging behind the parabolic gains seen in the 2013, 2017, and 2021 bull runs.
This is occurring as other major risk assets, such as the S&P 500 and gold, have been setting repeated all-time highs. Bitcoin's more measured advance suggests it may be behaving more like a traditional financial asset, influenced by macroeconomic factors and broader market sentiment.
In July, some analysts pointed to unusually low readings from the Bitcoin Implied Volatility Index as a potential precursor to a significant price move. While that has not yet materialized into a 50% rally as some predicted, the strong September performance indicates that underlying momentum is building in a controlled manner.
