Skip to content
Back to Guavy Wire
Crypto

Bitcoin's Four-Year Cycle Suggests Recovery is Near

Instruments
BTC
Share

Bitcoin's four-year cycle of boom and bust has been well-documented. The cryptocurrency typically trades in cycles where it experiences three good years followed by one bad year.

The current downturn in Bitcoin's price is not new, as it follows this historical pattern. After hitting an all-time high last October, Bitcoin crashed in value by 50%. However, several high-profile crypto investors, including Cathie Wood and Brian Armstrong, have already called a bottom for the asset.

Furthermore, every Bitcoin bear market appears to be getting shallower over time. The drawdown from peak to trough has decreased from 94% in 2011 to 54% in 2026.

While there is no guarantee that history will continue to repeat itself, the statistical evidence suggests that Bitcoin may be due for a recovery.

More on Crypto

Disclaimer: Guavy is a data and market intelligence provider, not an investment advisor. The information, signals, and market analysis provided by the Guavy API and related services are for informational purposes only and are not intended as financial advice, investment recommendations, or an endorsement of any particular trading strategy. Trading in volatile markets, including cryptocurrency, carries significant risk and may not be suitable for all investors. Past performance is not indicative of future results. Users should consult with a qualified financial professional before making any investment decisions. Guavy makes no guarantee of trading profits or financial returns.

Real-time market sentiment intelligence for apps, funds & agents

Location

729 55 Ave SW
Calgary AB T2V 0G4
Canada

© 2026 Guavy Inc