The Biggest Market Crashes in Cryptocurrency History to Know 2021

In recent days, the BTC rate, along with altcoins, has lost 10-20% in price amid the unstable situation in the financial market. Last but not least, this is due to the new and so far insufficiently studied Omicron Covid-19 variant. So, after a historical maximum of $69K, recorded on November 10, BTC fell in price to $42K in early December.

We decided to recall the longest bearish cycles, the periods when cryptocurrencies lost in price up to 90% of their value. Let’s get started!

July 2011 — November 2011

The very first bearish cycle in the history of cryptocurrencies lasted almost six months — 163 days. By July 2011, the value of BTC reached a record $29.38 — the digital gold added 50,000% in value in less than a year. But after the hacking of the largest crypto exchange at that time, Mt. Gox, the bitcoin price started to fall. By November 2011, BTC had lost more than 90% of its value and had dropped in price to $2.

December 2013 — January 2015

Having reached an all-time high of $1.2K per coin in November 2013, Bitcoin entered a bearish cycle that lasted more than 400 days and ended only at the beginning of 2015. During this period, BTC lost more than 80% of its value and had fallen below $200 by January 2015.

During this period, several large bitcoin exchanges were hacked (Mt. Gox and Bitstamp). The Silk Road, where BTC was very popular, was also closed. In early 2015, Russia blocked several resources dedicated to cryptocurrency.

From the longest cycle of falling prices, bitcoin followed to the longest upward trend at that time, which lasted right until the end of 2017, when BTC reached $20K.

BTC Price Chart (2013-2015)

January 2018 — February 2019

The next protracted bearish cycle lasted more than 400 days. After the all-time high of $20K, BTC started to fall again, and it had dropped back to $3.4K by February 2019, although many considered the level of $6K to be the ‘bottom’ below which the leading cryptocurrency could not fall.

In 2018, bitcoin lost about 80% of its value, and the crypto market lost $700 billion in market cap. Ethereum, which went live in 2015, fell in price ten times over this period to $137. Binance Coin also decreased in price by 40%.

Experts named several reasons for the free fall of the leading cryptocurrency and the crypto market in general. For example, in 2018, it was revealed that several ICO platforms violated the law by selling unregistered securities, which attracted the attention of the SEC.

Some experts named another reason — the unsuccessful hard fork of the Bitcoin Cash network, which brought increasing uncertainty to the crypto market.

Finally, another possible trigger for the crash could be Nvidia’s report on the drop in sales of cryptocurrency mining equipment.

BTC Price Chart (2018-2019)

2020 — 2021

Since February 2019, there have been no protracted bearish cycles on the crypto market. At the same time, in March 2020, the market crashed due to the news about the coronavirus — then BTC fell in price from $10K to $4K in a few days.

Still, it has recovered rather quickly and has shown stable growth since May 2020. By the end of 2020, BTC rose in price to almost $30K, and in April 2021 — to $64K. However, this was followed by a short-term crash, when BTC fell below the $30K mark.

ETH lost about 50% of its value and was worth $1.8K in the same period, while DOGE fell by 61% to $0.415192.

True, many experts believe that a new bearish cycle on the crypto market is taking place right now, and it began with a drop in BTC price by 20% from a historical maximum of $69K.

BTC Price Chart (November-December 2021)

By the way, some experts note an interesting feature — in the new bearish cycle, the cryptocurrency never reaches the lowest levels of the previous cycle. That is, say, in the cycle of 2018-2019, BTC did not fall to $200, to which it fell in 2013-2015.

Conclusion

Today we’ve considered the biggest market creases. These are periods when the cryptocurrency fell in price the most. When will the next protracted bearish cycle in the crypto market take place? It is impossible to give accurate forecasts, but some experts believe that a new cycle of falling prices began with a 20% decrease in BTC price after reaching an all-time high of $69,000 in November 2021.

Still, the bearish trend is the best time to buy all leading cryptocurrencies at bargain prices. Thus, if you are interested in buying some crypto, you should definitely think about doing this at Switchere. On our platform, you have an opportunity to buy all leading cryptocurrencies in the fastest and most convenient ways using any available payment method. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order.

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