Bitcoin's Historic Price Crashes: Lessons from Volatility
Bitcoin has experienced significant price drops throughout its history, shaped by exchange failures, regulatory actions, and macroeconomic shocks. Major events include the Mt. Gox flash crash (nearly 99.9%), China's regulatory bans (up to 50%), the COVID-19 pandemic ("Black Thursday," nearly 50%), and the FTX implosion (over 17% in 24 hours).
Key triggers for these crashes include:
- Exchange security issues (Mt. Gox, FTX)
- Regulatory uncertainty (China bans)
- Macroeconomic events (COVID-19)
- Excessive leverage and liquidations
- Technological vulnerabilities (DDoS attacks)
Despite these downturns, Bitcoin has shown resilience, consistently recovering and reaching new highs. Understanding these historical patterns is crucial for navigating the crypto market.
Cryptovka
Bitcoin
The world of cryptocurrency is no stranger to volatility, and Bitcoin, the pioneer digital asset, has seen its fair share of dramatic price swings....
