A Bitcoin crash refers to a sharp and sudden decline in BTC’s price, often triggered by factors like regulatory crackdowns, macroeconomic instability, market manipulation, or mass liquidations. Historically, Bitcoin has experienced multiple crashes, sometimes losing over 50% of its value within weeks. Events such as the 2017 bubble burst, 2021 China mining ban, and FTX collapse in 2022 led to significant downturns. However, Bitcoin has repeatedly recovered, reaching new all-time highs. While crashes create panic, they also present buying opportunities for long-term investors. Understanding market cycles, risk management, and investor sentiment is crucial to navigating Bitcoin’s extreme volatility.
