Research Weekly - Charting Drawdowns During Up Cycles

IN TODAY'S ISSUE:As BTC continues its pullback from the all-time highs, we look at the frequency and magnitude of drawdowns during past major price cycles. Our analysis this week delves into historical trough-to-peak cycles and intra-cycle drawdowns to provide insights into the current price correction. Defining Past CyclesBitcoin has experienced 4 significant price cycles in its history, peaking in 2011, 2013, 2017, and 2021, with these peaks centered about reward halvings. Against this backdrop, we explore how past "up" cycle drawdowns unfolded and what insights they might offer about the current cycle. Throughout the 2021 cycle, bitcoin encountered 10 significant drawdowns of 10% or more.