Despite the severity of the correction, the magnitude of the drawdown remains in line with previous drawdowns this cycle, with Bitcoin trading -28% below its ATH. This highlights the relatively robust demand picture Bitcoin has seen during the 2023-25 uptrend, which has been characterised by shallower drawdowns when compared to prior cycles.
Whilst -28% is a large drawdown in 2023-25, a typical drawdown in 2017 was over -30%, and the 2019-21 cycle saw multiple -50% declines.