The Bitcoin has been showing a substantial growth over the past years, although huge growth was followed by huge corrections. Let’s try to compare the past two correctional moves down with the current one.
The past two strong corrections occurred in 2013 and 2014 were price retraced for over 75% from the peak values. All smaller corrections occurred in between resulted in a correctional move down of not more than 40%.
The corrective wave back in 2013 resulted in a 76% decline while price moved from $260 high, down to the $60 support and has lasted for 87 days.
The next strong correction was not too far away and happened during 2014 – 2015. This time Bitcoin has corrected from the $1165 all-time high, down to $200 support level, which resulted in an 82% loss against the USD. The correction, including the consolidation period, has lasted for 637 days!
Third (Current) Correction
With the latest move down, Bitcoin has corrected down by almost 70%, during a relatively very short period of time, only 51 days.
All major corrections have a tendency of a 70-80% drop, while the timeframe of the correctional move and consolidation period can vary. Bitcoin has already corrected nearly 70% from the all-time high and it could be a good buying opportunity for the long-term investors. At the same time, if 80% correctional move will be applied to the chart, the price could drop as low as $4000. Therefore, statistically speaking big players could start or could have started buying Bitcoin Bitcoin anywhere between $6000 and $4000.