Once again, the price of Bitcoin has sunk, and with it a good part of the cryptocurrencies on the market. This has led many crypto skeptics to start talking about the end of this big bullish rally in the price of BTC. However, a comparison between it and the rally in 2017 can shed a different light on the matter. Therefore, today we will talk about how strong this drop was compared to the Bitcoin rally of 2017, starting from Tweet of Preston Pysh’s day:
One more drop for Bitcoin
Yesterday was like a bucket of cold water for crypto bullies. And it is that, after having lived several weeks of constant increase, reaching historical maximum prices practically daily. Yesterday’s 25% drop in Bitcoin value seemed to put a damper on the more optimistic expectations within the crypto community.
Thus, in a matter of hours, Bitcoin went from being located at 41,152 dollars per BTC, to fall to 30,525 dollars, from where it has recovered to settle at 34,408 dollars per BTC. A decline that, although it appears not to be fatal, has undoubtedly had a strong effect within the community.
However, when this drop in the price of Bitcoin is compared to the performance during the last bullish rally of 2017, the situation does not seem so dire. And, as Preston Pysh says, in 2017 Bitcoin experienced several corrections of between 24% and 38%.
«During the 2017 bull rally, when the price fell between -24% and -38%, it did not stay there for long. Just a few historical benchmarks to think about on the 2017 chart. During the last rally, the deepest drop was -38% in price in the next 70,000 blocks after Halving.».
Therefore, despite the psychological impact that yesterday’s Bitcoin crash can generate. A comparison of it with the historical precedents in the market, shows that it is not as serious as it may seem at first for the future of the crypto market.