Two historically green periods are about to begin: The Santa Claus rally and the January effect

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We are about to enter two periods that have historically been good for investments.

The last week of december (called the Santa Claus Rally (no joke, this is what it is called) has historically been a green period and January (traditionally called the January effect) is also historically a time for money to flow into investments and driving a rally.

Why these green times often occur around end of December and January, is a but unclear, but it may be related to more bullish retail investors dominating the market in late december (compared to institutional investors), and the US tax year ending 31st december. Of course who knows if this is going to hold this year, especially with Omicron making things extra unpredictable.

But these two historical trends put together with these last weeks kind of looking like the dip we had in september which trampolined us into new ATH’s, I think now may be a good time to invest into BTC and ETH.

Just a thought, and not financial advice.

You can read more about the Santa Claus rally and january effect here:

Santa Claus rally:

https://www.investopedia.com/terms/s/santaclauseffect.asp

January Effect:

https://www.investopedia.com/terms/j/januaryeffect.asp

https://www.schroders.com/en/insights/economics/does-the-january-effect-really-exist/

submitted by /u/Interesting-Engine34
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