As some of you may know I have recently cautioned on a sudden bitcoin drawdown. Since then I have been studying historical sudden bitcoin price drops and the research is interesting.... exuberance alone seems not to have any precedence for a major pullback...
During BTC's ~15 year history there is no specific instance I can find where Bitcoin experienced a major price drop solely due to market exuberance without any associated news. Typically, Bitcoin’s price crashes have been linked to external factors such as regulatory changes, macroeconomic conditions, or significant events in the crypto industry. For example, the 2022 crash was influenced by the collapse of major companies like FTX and Terraform Labs. Even when exuberance plays a role, it is often accompanied by other news or market developments that contribute to the downturn. Hope this is helpful everyone...
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