Bitcoin has crashed 30% from its peak — and it turns out this is normal
Bitcoin's drop of more than 30% from its all-time high has highlighted the volatility typical for cryptocurrencies. However, historical data indicates that such fluctuations are part of Bitcoin’s normal behavior pattern and often precede a new rally, CNBC reports.
At the end of November, Bitcoin fell to $80,000, which is 36% below its all-time high of $126,000 reached earlier in October. As of Thursday, Bitcoin is trading around $93,000, having recovered some losses but still remaining 26% below the peak.
Analysts note that despite the alarming figures, the current correction fits within the historical boundaries of market cycles:
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Current cycle. According to CoinDesk Data, Bitcoin has already experienced a pullback of 32.7% in March–August 2024 and 31.7% in January–April 2025.
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2017 cycle. That year saw two crashes of roughly 40% and a 29% decline in November before a new high was set in December.
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2021 cycle. The market saw drops of 31% and 26% early in the year, followed by a correction of more than 55% (after China’s mining ban), after which the market recovered to new highs in November.
“Looking at previous cycles, one can say that volatility of this scale aligns with long-term trends,” said Jacob Joseph, senior analyst at CoinDesk Data.
Investor sentiment is dampened by concerns about the end of the bull market. Typically, a “crypto winter” is characterized by a price drop of 70–80% from the peak. This has not happened so far, but the possibility of such a scenario is making market participants more cautious.
See also: "A quarter of all bitcoins were purchased at prices above the current level. Glassnode report"
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