Bitcoin often crashes after reaching its cycle top. And these crashes can range anywhere between 50-80%. But the Pantera Capital CEO says that the next bitcoin crash might not be an 80% one and is expected to be ‘shallower’. This is good news as ending bull-runs with 80% crashes doesn’t really sound like a good time for long-term hodlers. We should also note that the reason behind this is the widespread adoption of BTC and the constant addition of new buyers. At the same time, we are also seeing an increase in long-term BTC holders.
Bitcoin crashes in history
Before going to the old ones let’s take a look at the one that happened in the last few months. After making a high of $65k, BTC crashed to a low of nearly $29k which makes it a 55% crash. And now we are back at $62k which shows how fast the market crashes or recovers. Even in the 2013-15 bull run and 2017-18 bull run we saw nearly 80% crashes from the highs of the time.
All this has made investors ask the question about how to spot the cycle top as else wise you will be stuck at a bottom for a few years at least. But the kind of adoption we are seeing and the advent of an ETF makes it really difficult for us to witness a similar crash in the future.
There are ample buyers now to keep the price of BTC high and make sure it ever drops below the $10k-$15k level again suggested reports. And even when the recent crash happened the $30k support held and pushed the price to higher levels as we expected it to.
Bitcoin’s expected price
While we are expecting a $100k price in the next few months, even if a retracement comes it won’t be as drastic as previous years. Every Bitcoin metric like the stock-to-flow model, RSI, 200 MA suggests that the rally is going to continue and is at least reaching the 6 figure mark by the end of this bull run.
What are your thoughts on the next Bitcoin crash and its magnitude? And do you think we will reach $100k by the end of this bull run? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.