Every Bitcoin Crash 'Looked Like The End'—How This Correction Stacks Up

Bitcoin BTC/USD focused media outlet – TFTC highlights how every major BTC correction, though painful, paved the way for future rallies.

What Happened: Referencing a detailed Bitcoin historical correction chart, it is evident that despite being one of the world's best-performing assets, it has experienced a significant number of substantial price drops. It highlights how the corrections vary from government bans to hack-induced crashes. While every Bitcoin “crash looked like the end,” it was just the beginning.

Comparing the timeline from January 2012 until May 2021, the data shows the high and low prices of each year. In early 2012, Bitcoin dropped 42.9% from Jan. 12 to Jan. 27, while August 2012 saw a swift 56.3% plunge triggered by the collapse of the Ponzi scheme "Bitcoin Savings and Trust," involving 150,000 BTC.

The next major drop was the April 2013 crash, when BTC wiped out 82.6%. Between late 2013 and early 2016, the BTC price fell nearly 87% following China's ban and the Mt. Gox hack, leading to regulatory troubles and ultimately resulting in the company’s bankruptcy.

The 2018 fallout from Japan's Coincheck ($530 million) hack saw BTC drop 83.6% to about $3,220.

Most recently, in May 2021, after Elon Musk's tweet that Tesla would stop accepting BTC payments, Bitcoin dropped 51.1% from its peak of $64,706 to $31,663.

Also Read: Bitcoin Steadies Above $116,000 As XRP, Dogecoin Surge On Regulatory Boost, ETF Inflows

What's Next: After racing to its all-time high levels of $100,000 and beyond, Bitcoin prices have been ranging between $113,000 and $117,000 for the past few weeks. Captain Faibik noted that BTC has hit the $117,000 resistance, and it may be only faking out and a trap for buyers. He is now expecting a correction.

Cycle analyst On-chain College notes that Bitcoin's present position mirrors the 34% correction in 2017, roughly 84 days before that cycle's peak, after which BTC surged 6x. This suggests current volatility may not alter the long-term bullish trajectory.

Entrepreneur and Bitcoin investor Lark Davis adds perspective: if $123,000 was BTC's top, zooming out reveals a pattern of strong rebounds from similar corrections over the last two years. He advises against reacting to short-term noise and to focus on the bigger, bullish picture.

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