Is Bitcoin Current 47–50% Drawdown the Same Pattern That Has Always Led to New All-Time Highs?
The post Is Bitcoin Current 47–50% Drawdown the Same Pattern That Has Always Led to New All-Time Highs? appeared on BitcoinEthereumNews.com.
TLDR: Bitcoin has recovered to a new all-time high after every 40–50% correction recorded between 2014 and 2026. The average trough-to-cycle-high multiple across nine correction events sits at approximately 3.4 times the low. Recovery time within this correction range averages 9 to 14 months, far shorter than full bear market timelines. Bitcoin’s maximum drawdown severity has declined each cycle, dropping from 84% in 2018 to roughly 50% today. Bitcoin’s historical price behavior shows a consistent pattern that long-term analysts have tracked for over a decade. When the asset drops between 40% and 50% from a cycle peak, it has recovered to new all-time highs in every recorded instance since 2014. As of February 21, 2026, Bitcoin trades near $67,707, down roughly 47–50% from its October 2025 peak of $124,700. That places the current drawdown squarely within this historically notable correction range. What Defines a 40–50% Correction in Bitcoin’s Cycle A 40–50% correction refers to a drawdown from a running cycle peak to its lowest trough, with the maximum decline falling between those two percentages. The peak is measured as the running high before a new high is set. The trough marks the deepest point of the pullback before recovery begins. According to an analysis by market commentator Adam Livingston, the dataset covers daily Bitcoin price history from 2014 through February 20, 2026. It identifies roughly nine distinct events fitting this correction definition. Only closed events count, meaning the drawdown period ends only when a new all-time high is confirmed. This definition deliberately excludes deeper bear market crashes, where losses exceed 70%. Those recoveries typically take much longer. The 40–50% bucket behaves differently, and the data treats it as a separate category of market behavior. Key Data Points From Nine Historical Events The average multiple from the correction trough to the…
Filed under: News - @ February 21, 2026 9:21 pm