Bitcoin doesn't just crash; it follows a script. Every time we hit a New All-Time High, the 'black swans' start circling.
If you aren't looking at the 2013, 2017, and 2021 cycles, you’re trading with a blindfold on.
Here is the anatomy of a BTC crash:
Stage 1: The 2013 Peak
ATH: $1,127
Trigger News: Mt. Gox Collapse & China Ban. The world’s largest exchange at the time went insolvent due to a massive hack, coupled with China’s first major crackdown on banks handling crypto.
Market Result: An 85% multi-year slide that tested the patience of early adopters.
Stage 2: The 2017 Moonshot
ATH: $19,783
Trigger News: ICO Bubble Burst & SEC Crackdown. The market was flooded with "Initial Coin Offerings" that lacked real value. Regulatory pressure and the launch of Bitcoin futures led to a massive sell-off.
Market Result: The infamous 2018 "Crypto Winter," where BTC stayed in the doldrums for years.
Stage 3: The 2021 Double Peak
ATH: $69,000
Trigger News: Terra/Luna & FTX Collapse. A "black swan" year where the $60B Terra ecosystem evaporated, followed by the criminal collapse of the FTX exchange and rising global interest rates.
Market Result: A brutal deleveraging event that wiped out billions in market cap and sidelined institutional investors.
Stage 4: we are here....
