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Bitcoin's bear market proves milder one year after reaching record peak

A 32% decline from the October 2025 high reflects lower leverage and a shift toward institutional buyers.

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One year after hitting an all-time high of $126,000 on October 6, 2025, Bitcoin stands roughly 32% below its peak, trading near $83,900. This contraction represents a significantly smaller drawdown than observed in prior post-peak periods, when Bitcoin dropped 69.7% in 2013, 82.3% in 2017, and 74.6% in 2021 within twelve months of topping out.

The cycle's lowest point occurred on June 30, 2026, near $58,900—a 53% drop that reached its bottom in nine months, compared to peak-to-trough drawdowns of 77% to 85% taking a full year or more in earlier cycles. Galaxy Research had previously noted this compressed timeframe in June.

The reduced volatility and slower descent are attributed to structural market changes. Over $19 billion in derivative positions were liquidated on October 10, 2025, preventing subsequent cascade liquidations, while buying support shifted toward institutional participants, including spot ETFs, corporate treasuries, asset managers, and family offices.

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