$BTC
Bitcoin's blockchain record is immutable—history stays the same, but the scale of the numbers keeps growing.
Back in 2017, Bitcoin surged to roughly $20,000–$21,000 before crashing over 80%. Then in 2021, it climbed to about $69,000 and fell around 77%. In the latest cycle, it hit near $126,000 (its all-time high in October 2025) and has since dropped more than 70% (with reports showing dips over 50% from that peak by early 2026).
Every bull run feels unique in the moment. Fresh stories emerge, new justifications appear, and crowds insist, “This time is truly different.” But step back far enough, and the pattern repeats with striking similarity: explosive upward momentum, widespread excitement, excessive hubris, followed by a harsh correction.
The scale of gains and losses grows larger each cycle, but the percentage drops stay remarkably consistent. The psychological toll remains just as intense. Only the absolute dollar figures inflate.
This isn't random—it's baked into Bitcoin's design and market dynamics. As a fixed-supply asset in a world of fluctuating liquidity, Bitcoin surges when money floods in and confidence rises: inflows outpace the limited new supply, pushing prices to extremes. When conditions reverse—liquidity dries up, borrowed positions get liquidated, and fear takes over—the feedback loop flips. Panic selling replaces greed-driven buying, risk tolerance shrinks, and the downturn can seem relentless.
Grasping this recurring cycle is a core part of Bitcoin education.
Volatility isn't a bug here; it's an inherent trait of a young, scarce asset with high sensitivity to market sentiment (high beta).
True learning starts once emotions cool off.
Most losses in Bitcoin don't come from the price drops themselves—they come from poor decisions made during those drops.
Here are key lessons from every major correction:
Major drawdowns of 70–80% (or even more in earlier cycles) are standard historical behavior for Bitcoin. They don't become pleasant, but they do become predictable and something to anticipate rather than be shocked by.
