Topic: Major Dumps in Bitcoin History and What to learn from there? (Read 605 times)

Checking a long time after my OP monetization and look what I got yes there are some users who actually read and obtain results, Thanks dear. Yes the motivation is clear from the OP as never gets dishearted, when you lose the courage thats the point to rise. So cycle should be always in mindset that with which speed its falling the rise is going to be double of that seed.

Should be always thinking or bare up in mind that there's always a cycle that we called because a market could'nt really have a single path to take or movement which means that if there's dumping state then

there's a pumping state but no one could ever assure on when it would happen and this is where differences of decisions and engagement can really be seen by people who are engaging on this market.

Dumps is always lurking ahead and this is why as an investor or trader then you should always mind off on having those price selling points or goals which it would be always sensible
on doing so.

One major lesson I think is there to learn from OP with regards to the subject of the thread as well is that,
There is always a rebirth. It's all that matters to this, the possibility of a continuity and being hopeful that all isn't lost with the dump as the care often is for altcoins. Another thing is the periodic nature of bitcoin investments. As much as we are unaware of the exact moment a trend begins, we are aware of the trends that exists and can identify it when it starts playing out.

With that, we can say we've entered some ranging market where bitcoin wil continue to dance around for some time before the bulls steps in and push price to or above the ATH. It's history and it will repeat.

Cryptocurrency market capitalization is still very small compared to other financial markets, even the total market capitalization is lower than the total capitalization of a corporation like apple which is more than 2 trillion while the capitalization of crypto is 1 trillion. Although the market operates according to supply and demand, manipulation is inevitable. Do you remember Elon? he can easily manipulate the market with just a few tweets. Fuds are also considered to be the most frequent and visible manipulation tools available today.

you forgot the dump you had in 2018 when the price dropped from 19000$ to 3100$, this was the worst dump, this dump from 6000 to 17500$ is something natural because it has to do with the crisis that every market is suffering with the war in ukraine, but the dumps of the past were really thanks to the fact that many people were buying because they imitated other people and it was enough to have profits they started selling a lot and the price dropped a lot it was pure pump and dump


these events teach us that you shouldn't buy at the top thinking that the price will keep going up, this mistake has happened to many people, you shouldn't think that the price will go to the moon, it will be 100,000$ just because it's at 60,000$ so you have to buy because you heard that the price will be 100,000$, you shouldn't do that, and we are here today with a price of 20,000 and not 100,000

I'd learn that OP with all of these dumps happening, pumps will come next. These market events, somehow teach us that we need to be patient and adapt to the nature of the market otherwise, losses are what we got. It is quite often that it was been turn to negative when seeing this situation but I learn that not all dumps are negative, yet I consider this as an opportunity as well, as an Investor, it is me a chance to buy potential in a cheaper price and make a huge profit when I sell them during the bull season.

Why not, it's always possible if you have good financial strength or maybe when you have thousands of bitcoins in your wallet that you send to exchanges. At least these two steps can change the market conditions to go up or down because people will always monitor the big movement all the time.

It is true that many people are getting educated about the market and how they behave. However, not everyone is able to control their psychology, especially when the funds they use are not completely free from other interests such as needs. It is a fact and rality that the process of decline and increase does not occur instantly, increases and corrections will create patterns that will support the analysis of where the price is moving.

Nothing much to learn, but only one thing to learn Bitcoin history repeats. Whenever a bear comes then we have seen a massive bull later which has been breaking each ATH most of the time. Currently, we are in bear if you compare it with the ATH. And it would start to recover at any time. But like always we become panic during a bear market. History shows us always holder become gainers.

If you are very interested in the history of Bitcoin then you may be ready to always continue in that interest. We all can see that crypto-currency is very volatile and this is unending. All my existence of knowing about Bitcoin I have read up history of its pump and dump. But when ever you realize that Bitcoin isn't on the same altitude as other crypto-currency you only see the dump as yet another normal period.

I think all this stories of the dump should be for historical purposes but this might not because some newbies can be scared away if they aren't properly guided. My advice is don't only see bitcoin as a prized investment opportunity but as a solid financial system alternative.

Your post make me satisfy,
Reason:
As after reading all of the above dumps even when there was huge strom of unawareness. Adoption was not that streamline as of today. Number of famous people, authorities and governments are increasing in numbers to adopt BTC mainly. Why don't they adopt or talk of any other token? You should write on this too. Well back to reason. Environment for BTC back than was bad but now it seems far better. And stats and numbers showing more growth in it. As we are moving forward not back. Forward means, to the digitalization. METAVERSE, WEB3.0, NFTs, Gaming, etc have started to leverage the blockchain technology. I must say blockchain is the main core of crypto. Is there any new technology present bteer than blockchain. If not? Than we are seeing BTC, bullish in the long run

Yes, the period 2017-1018 was really a bad experience for a lot of people, I was also a victim of it. This is my first time having a market crash, I was panicking when bitcoin dropped from 20k$ to 3k$ and I thought that was the end for bitcoin and the market. I cut loss my whole portfolio and I remember my loss was 90% and the amount got back was almost very small compared to the amount invested in it. But thanks to such an expensive experience I am now very confident with bitcoin and the market I dont even expect bitcoin to rise again any time soon, I still want to fill my bitcoin pocket at this price because I believe and for sure bitcoin will rise again and hit the $100k.

i don't think btc market can be manipulated these days. there are so many stakeholders that are already in this market. in my opinion, no one can solely influence the movement of the market as it would take a lot of money to at least make a dent in the trading market. this has grown so big already where no single entity can dictate the path of btc. this market has evolved many times over, and yet, we are still here continuously supporting this market despite the huge fall from its ATH. the hope is still there because more and more people are joining in this market. only newcomers or who lost big will think that btc is a ponzi market. if you educate yourself, you can learn more or better yet, gain something out of this market.

That's the fact market can be manipulated but this manipulation cant last long as the market is based on volume, sentiments, and emotions as mentioned above if you want to make permanent changes what you need is control over the facts as emotions, volume, and decentralization of market pairs. If you are able to capture the emotions and volume then that's it. The point is market mutilations are short-term emotional damage and this can be done by some panic news as always.

If we consider Bitcoin as a Ponzi scheme then we can also say that the all the market is a huge Ponzi scheme.  The bitcoin market is driven by demand, emotion, and supply meaning, it follows a natural course of trading though there might be some manipulation, this manipulation doesn't last long, it always is corrected by the market itself.


We don't need to get out of the mindset, we just need the right mindset about Bitcoin.  The right information and proper education and research is needed to not be swayed by people who pretends to be knowledgeable but yet have hollow understanding of Bitcoin.


I agree, weak hands always end up losing but there is always another opportunity to reenter the market.  As shown in the first post, the Bitcoin market always open its windows for a new entry point to invest and reinvest in Bitcoin Industry.

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Most of the dumps are within the 4-year cycle, after the Bitcoin halving hype, following Bitcoin FOMO where the price of Bitcoin records a new series of ATH. Then after the ATH, a series of dumps happen that give way to a bear market.

What I learned from the market flow of Bitcoin is that, profit is inevitable if we timed out investment during the bear market and losses is unavoidable if we get FOMOed and buy during the peak(that is if we intend to sell after a year or two).  In order to get profit during the ATH buy, we need to either cost average during the major dump which is expected to happen after ATH and wait for the next FOMO which happens after the Bitcoin halving.



 

Getting profit in investing requires patience as well. If you choose to hold your Bitcoin rather than making unnecessary and wrong decisions, you will definitely lose your money.

Weak hands really will lose money because investing in cryptocurrency isn't for those who people who are panicking easily. Investing in crypto is for those who can endure the pain of having an impermanent loss with their portfolio.

What to learn? I guess to hold especially if you trust the project but at the same time, know when to sell if it's really needed. I mean there are certain coins like Bitcoin and Ethereum who went down massively in the bear market but after that, a gradual upwards movement until the bull run starts and it went up. On the other hand, there are some coins or projects especially those altcoins that you chose to hold but, in the end, it didn't go the way you wanted, and you lose your money after deciding to hold it for years. Just always have a strategy and not more than 1 plan.

If that really happens, the bullish breakout could happen again at the end of the year or early next year because the trend line may look almost the same as the previous year. But we must also keep in mind that the current situation of bitcoin is different from previous years so we need to make another analysis if that is not going to happen. And we can also adapt to situations and conditions in the market to take advantage of the market.

Investing in bitcoin is a wise choice that anyone can make, but they should analyze before investing to get the right position to start buying. Don't just follow other people's advice because it doesn't guarantee you will get the benefits you think you will. Hopefully, the history will repeat itself

The only lesson that I have learned from what the OP summed up is that the market is only 2 things up and down, everything is always intertwined. After a bull market there will be a bear market and everything will turn around like that. Our job is very simple, buy when the market bears and hold patiently until the bull market, we will have a worthy reward. The market doesn't puzzle us, we don't need to make things more complicated.

Exactly sir as you mentioned such a dumps can be sole motivation for us Bitcoin even at its early stages when the idea was not popular survived the 99% of the Dump and today you and me better know how powerful scope of BTC is..


Noted as this is a Major fact that the popularity of BTC in the civilians was after the 2017 ATH actually everyone jumped into it for the profit booking but after 2017 people found that its not the profit booking hype gem its a real store of value and essential for fulfilling the financial needs.

Since many people started to join bitcoin market after the rise of bitcoin price back in 2017 mostly people seen the dump on 2018 and how the price recovered was really long but amazing for the people how were waiting for this time but  recently we had another price dump and from what we saw in the past we can be sure about recovering the price after some time that's what history tough us.

There is only one thing to learn from such dumps. That it is an opportunity for all retail investors. Anytime in future, if you are seeing such dumps happening and market is moving to red, buy and hold. That's what I personally do.

Pump and dump are all part of the gameplan and you can not escape that. So instead of getting depressed why the price is moving down, turn it to your favor and score more bitcoins at lower price. That's the best way to beat the blues!

I like the list, and I particularly like the reasons for dumps which are outlined there because, while linking to particular events, there's also an understanding that what matters isn't only the event but also the reaction of people to it. Moreover, I think we should remind ourselves about the dumps and how much value was lost in them, so that we can also remember how nicely Bitcoin recovered and exceeded its previous heights after what seemed like a huge defeat. It's an inspiring story. Maybe once there will the final dump, but IMO there must be a very good reason for it. Regulations, speculations, exchange exit scams aren't good enough for that.

Holdings should not be on the centralized exchanges as this not at all safe. For trading you can say on some instinct you can temporarily hold Funds on the centralized exchanges rest is upto the holder from which intensions he is holding. Funds in custody are much more secure.

I have some BTC on Kucoin.

Each new cycle is another chance for those who left the game too early last time. The cycles have already been repeated so many times that it seems to me that everyone should understand how it works and this time more holders will be able to become successful. But probably again there will be those who will sell too early, there will be those who will sell if the market goes even lower, the market will knock out the weak as it always does.

Weak hands are less likely to succeed and improve their living but remain low. And whatever we wanted to help them, we just encounter misunderstandings and rejections.
If we all are just willing to change and correct our mistakes, I could imagine that many people have improved their lives. I learn that with all the difficulties we face day by day, there is really a great reward waiting for us. Those who take the risk of holding while others are busy selling their Bitcoin have made bigger rewards in the end. I'd see this not in myself, but I'd see this because the market show to us.

Agreed Holding is the best way to secure your Future. On the side of the Choosing the asset dear do you really find any other asset rather than Bitcoin, thats strange. Rest of the things are pick a side to invest in the bear line and also pick your own Strategy as for me recommended is DCA.

There have been different analysis to the market price movement and in one thread I posted on earlier today, there were these scenarios shown of different little pumps in the market price even during the bear market, and we could be seeing that with what has happened to BTCitcoin price since like Oct. 22 to now or are we really on a breakout like what the BTC Macro RSI chart is pointing at below?

I saw this BTC Macro RSI chart in one of the telegram group (Bitcoin News) I am following which states that, we might be seeing a  "bullish breakout of its trendline since January 2021 top" and this pattern has occurred in previous years before the big rally upward. Can we see the same thing happening again going forward for Bitcoin price?
However, in all situation, I believe that investing in Bitcoin during this time would be a wise choice by anyone.

But only few people can able to handle such huge stress since the normal scenario is people start to dump when market collapse. Especially when more negative news hitting up so people first reaction is to save their selves from touching hell.

If many are just calm towards certain situations most provably we can see the bearish market condition goes short time only.

Attempting to find reasons for such corrections is not accurate, even the percentages of increase and correction, which have proven to be completely backward according to the factors of each cycle, but the constant is the upward growth.
So what you will learn from these patterns is not something of value as much as it shows the effect of increased demand and limited supply on the price.

Yes holding is the best way not to lose on cryptocurrency investment. But you should pick good coin like bitcoin. Dying is not an option for bitcoin, hence hacker could literally need a bigger consensus to turn it down. If you bought your bitcoin earlier then nothing to fear if even you didnt sell on last ATH cause you are still have chance to see more than what it did in thebcoming futures and history repeat itself.

I guess we just don't need to complicate things, its based on this 2 cycles: bull and bear.

In bear market, we will obviously see huge dump incoming, just like what we have seen already, from $69k to $17,500. So that is a huge decline already and to think that the bear market is just the beginning. We still have a full long year next year. So we should expect that maybe there could be more % to fall, And most likely we will see another lowest lows, in my opinion.

Even though Bitcoin suffer multiple time of major dumps, but Bitcoin always survive and make new ATH for every consecutive 4 years. This mean we should hold our Bitcoin at least 4 years to enjoy the huge return and don't become a weak hand who sell the coins at bear season. Bitcoin will never die and there's no chance for any hacker can hack Bitcoin, this make me very comfortable and secure to hold Bitcoin for long time.

I want to remind you to always have a strong hand in holding bitcoin, especially if the market conditions are not as good as they are now. But the current market conditions are better because the price could return to $20k and we can expect it to break through $21k and the next high. Right now is still a good time to buy more bitcoins because if the price has started to increase, we can miss buying at a low price. But that's just a suggestion and the rest is up to you.

The Bitcoin Crash of 2021 Compared to Past Sell-Offs


If you love history of Bitcoin corrections, the above visual graphics can help you to explore it with comparisons amongst past corrections.

In general, the common and biggest lesson from past corrections is, if you survive through crashes, you will see a good growth of your portfolio. Another lesson is you must protect your capital well enough, keep your orders and positions safely because if you let crashes kill you, you will regret later when see Bitcoin climbing to higher highs or making new all time highs.

There are really some points about regulation and it will allow more financial institutions to join this bitcoin revolution and community that we're part of. Because they have no choice but to adopt it and be with what the current technology offers to the masses. But at the same time, we know the foundation of bitcoin and it being decentralized, that's really one of the counterparts of it for which somehow contradicts its main purpose from the beginning of its creation.

Many of my dear friends are talking above about the potential = the regulation. Agreed and not agreed as Regulation is good it will be the booster doze for the BTC but it can be dengrous too, As in future this regulation is going to cause more and more manuplation in the markwt which can not be a good move as for the weak hands especially. 

Just like success, the price growth of Bitcoin isn't linear. You can't expect it to be so. How fool are we to expect the price to make a straight line from $0.01 to $100,000? It isn't sustainable that way, either.

Those who invest in Bitcoin and expect that the journey and path is easy-breezy should brace themselves for a certain disappointment. This is the reason why the get-rich-quick perception of Bitcoin only ends up with newbies panic selling with a loss.

I thought after the introduction of leverage trading in crypto lesser percentage of the dump would begin for there will be a higher risk to bet on trends, it turns out more people are willing to risks. Just recently bears betting for the price to go deeper crash were burned for it, I think more than a Billion.

I entered into crypto in 2016, quite a profit after holding altcoins I've got. But learned also that holding them is not worth it after the bull market.

The effect of post Covid-19 economic challenges and the Russian invasion of Ukraine has really affected the global economic stage negatively. Inflation and employment has risen to the extent that people are now more concerned about thier basic needs than investment. These challenges have greatly affected the Bitcoin space because very few people are thinking of buying Bitcoin, while others are selling to raise funds to meet their daily needs. Hence the Bitcoin market have become so unpredictable and even when predictions are made it is always negative. But the recent increase in the price of Bitcoin is a clear indicator of its maturity and growing strength in the global financial industry. Therefore, there are also chances that we have entered the Bitcoin bullish era.


The rate of acceptance and support Bitcoin have received in recent times even at this bearish market is real magical. In this season we have seen increase in the use of Bitcoin in most developing nation who perceive the currency as a hedge against inflation and escape route for high bank charges. Also more nation's are recognising Bitcoin as a means of exchange, while a nation currently adopted it as a legal tender. I think Bitcoin have even accomplished more recently even in the face of attacks and drop in price.

Most likely but it wont be a guaranteed thing because we dont know on what the future holds specially with Bitcoin but speaking about potential then we could really say that it is likely that we would be

seeing on the same behavior.History does repeat itself? No one knows since regulation and laws becomes even more strict specially on the platforms and services tied up with crypto but it wont really be

a total blockage if we do speak about adoption.Recognition is on the move as always and this is what we do need.Its hard and it might takes time but its not over
for this market and we would be continuing on the future years to come.

After critically analyzing this information given above, I got to fully understand how the circle of Bitcoin has been from time till date,  because I could notice how it got a rebirth after each dump in price and later skyrocked after a matter of 2-3yrs, which actually means it is a clear sign that Bitcoin still has the potential to do far more better in the near future irrespective that we are in a bearish period now with Bitcoin going up and down with $22k to $19k resistance

There is still a chance we drop further too from this current cycle but weak hands will still make the highest losses regardless (and there's a limit to how much further we can fall).

It's notable too that most of these aren't instantaneous drops as a lot of newbies would imagine. Bitcoin has spent a long time to reach these -80% in price so that suggests there's support for bitcoin in the worst of scenarios and people still willing to buy the coin at half its ath even after a bit of a fall will come as a surprise to many too.

This was the biggest dump of bitcoin history as in BTC early era on June 2011.. This dump happened when BTC value jumped to the maximum of 32$ from 2$ then suddenly a major dump caused the BTC value to be below 1 cent.

Reason: The reason for this dump is quite interesting as according to data BTC gained value from 2$ to 32$. During the same time, the largest BTC exchange on that time MT Gox was hacked or you can a planned hacking caused hundreds of accounts to lose funds worth millions of dollars.

Total Loss: 99% You can say that after this dump BTC was dead but at the same time you can say that it was the Rebirth of the global asset.


According to the timeline, this was not the 2nd biggest dump but according to total value/ loss, you can obviously say that it was again the rebirth of the BTC for the coming era. As the year 2017 who can forget the golden year of Bitcoin's history according to the official data BTC pulled its ATH to around 20k and for some unofficial trading data it was around 21k. After the ATH BTC starts dumping within the year 2017 its dumped to 12K than in 2018 to the 6K and then goes on till 2019.

Reason: Primary reason was the profit booking and with that BTC cycle entered to the bear zone where heavy capitulation caused regular dumping and sideways market movement. With all this panic some hacks in Japan and Korea played important role in this Dumping era this was one of the largest Bear zones.

Total Loss: 84% In this whole cycle. This was a total panic timeline where BTC was used to call by the name of a Ponzi scheme. Rest is History we know what BTC was and what is BTC.


As by the total value dump the 3rd dump was in the early timeline of the BTC after the recovery from the 1 cent crisis in 2011, this was in 2013 and BTC was in its prime time as it was reborn and now investors were more hopeful and that was the reason it leads BTC to the major dump. The dump was from 260$ to 50$. There also Mt Gox played an important role in dumping.  

Reason: The reason was the success of the BTC as after the 99% survival BTC was moving toward the most trusted digital asset network was growing and then boom. The MT GOX trading exchange on that time you can the say the power of MT GOX on that time was about equal to top 10 exchanges of these days, and it failed to survive in massive trading volume and the system collapsed this was a venerable time and hackers attacked and the market crashed.

Total Loss: 83% was the total loss in bitcoins value and this was a total panic time as MT GOX failed again and it leads maximum investors to move again from the decentralized asset to the centralization.


The fourth dump according to the total value was the era between the 2011 and 2013 dump do remember this era was total panic and that was the only reason BTC faced continuous 3 years sideways movement from 2013 to the 2017 Q3. There as BTC recently faced a major dump of 99% of investors looking for another opportunity as an alternative of BTC.

Reason: The reason is quite interesting as it was a Ponzi scheme that offered the investors 7% weekly returns on their assets investors jumped into it and this was the destruction point and the market crashed due to this Ponzi scheme scam.

Total Loss: 56% total dump in this major crisis time a total scam of 700K BTC.


The most recent dump was of May 2021 as BTC was I hype of the cycle in full Bullish market BTC hit the 64K ATH. Then our dear Ellon the shit poster not on that time but obviously he is a shit poster on the current timeline backed off from the BTC payments for Tesla products.

Reason: As I have mentioned Tesla created a fud environment for the BTC investors by backing the decision of BTC payments.

Total Loss: 53% total loss was faced by the market. The interesting fact was within a week $1T of total crypto market capital was wiped from the market and you can say that this was the real bloodbath after the 2011 incident.

Current situation

As for now, our Ath is 69K and we are in the sideways market same as in the 2014 to the 2017 Q3 the total loss is around 70% from the ATH. we are stuck in the resistance of 22k and support of 19k and its moving in these ranges a total capital we have lost until now is around $1T+ but who know what is going to happen in the coming week so be a ready to bear is about to end these pumps and dumps are temporary so focus the future and book the ticket to the train. Many Lunas are going to fail many shitposters are going to trap you to buy in cheap. Small holders get tired and bored soon which causes capitulation and Whales win always grab the maximum in cheap.
Source: https://finance.yahoo.com/news/7-biggest-bitcoin-crashes-history-180038282.html
Source: https://www.coingecko.com/en/coins/bitcoin



Always remember many Dumps and Pumps are gone and many are on the one thing that can’t be denied the power of BTC and its potential as a store of value. Many Shit-posters many MT GOX and many profit bookers played their roles but they were just the milestones not the destination.

No matter how it is going to be done but point BTC is freedom and this is going to be the world’s first and only digital store of value. There are questions in the panic situation that is BTC is a scam. Is it Ponzi our mindset is still not changed but in the future BTC is going to prove all these statements wrong again.

Just imagine how many times repeated questions can stop the BTC from reaching the destination believe in the potential and try to get out of the mindset, it is not an investment Ponzi scheme it’s the future that you are going to build for the next generation and they will thank you for the financial freedom.

Remember Weak hands always lose money no doubt that you need to face a hard time but the point is what are you getting right now, you cant regain it after few years so as many of us crying now they missed the train point is after few years many of us again are going to repeat their train so think now.