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These are the biggest bitcoin price corrections since 2011

Bitcoin (BTC) has maintained a growing trend since 2010 that is equivalent to doubling or tripling its price, on average, every year. It has also undergone major corrections in these eleven years of history. This article presents the recorded corrections of the bitcoin price after reaching an all-time high, starting with the one that occurred in 2011.

That year, the price of bitcoin experienced one of the highest growth rates in question. months, according to the barchart.com graph. The cryptocurrency started at USD 1 in April 2011, and reached USD 30 in just three months , which implies that it appreciated 2,900% in that short period.

This exponential rise was also reversed in a relatively short time, because by November 22, 2011, the price of BTC had fallen to USD 2. This first major correction of bitcoin was 93% , as shown in the following graph.

Major bitcoin fixes since 2011. Source: barchart.com.

Although all-time highs were recorded in 2012, as part of the upward cycle after the fall of November 2011, there are two fairly notorious record highs in 2013. That year, bitcoin starts with a price tag. zation of USD 13.40, to reach the value of USD 220 at the beginning of April. The subsequent correction occurred shortly after, registering a low of USD 55, or a price deterioration of 75% .

Bitcoin exceeds the barrier of USD 1,000

At the end of 2013, after growing 343% from the previous historical maximum, bitcoin exceeds USD 1,000 for the first time. With this milestone, the duration of the downward cycle after the top was also modified. While, in the previous cycle, the period necessary to return to the price of the previous historical maximum after the correction was slightly more than eight months, in this case reaching the top of December 2013 again, it took more than three years .

Once the price of USD 1,000 had been exceeded for the second time, in January 2017, the largest rally in the price of bitcoin took place, which almost multiplied by 20 that year. The drop after the all-time high in 2017 was 85%.

The big boom of 2017 led to bitcoin garnering media attention around the world. Among the most notorious causes of its meteoric rise is the announcement of the bitcoin futures contracts, ending the year and the launch of these contracts on December 17, precisely the day it almost managed to reach USD 20,000

In 2020 institutional investment in bitcoin emerges with force, despite the fall of the markets in March, including that of cryptocurrencies, due to the declaration of a pandemic, by the World Health Organization. The announcements of numerous companies and recognized investors in favor of bitcoin, quadrupled its price last year.

After a return to USD 20,000 that lasted almost three years, in December 2020 , began the rebound towards the penultimate historical maximum of April 2021, whose correction occurred in just 3 months and was 55%, much lower than the previous 3.

Last bitcoin correction has not finished

The following graph shows in detail the current correction, since the last historical maximum of 68,800, which occurred on November 10. A minimum value has not yet occurred, and the fall so far is 20% , compared to the recent historical maximum. The price of bitcoin at the time of writing is $ 54,950.

Major BTC price corrections in 2021. Source: TradingView.

In the last three bitcoin price corrections, the magnitude of the price deterioration has been decreasing: 86%, 85% and 55%. On the other hand, the current correction has been described more as a price consolidation than the beginning of a bearish phase , according to analyst Willy Woo. In support of this thesis, Woo highlights the buying attitude on the part of retail holders, as an indicator that the bullish momentum will continue, as reported by CriptoNoticias.

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Sandra Loyd
Sandra Loyd
Sandra is the Reporter working for World Weekly News. She loves to learn about the latest news from all around the world and share it with our readers.

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