Bitcoin’s latest plunge might not spell disaster after all - in fact, if history rhymes, it could be the setup for a strong rebound.
Bitcoin’s latest plunge might not spell disaster after all – in fact, if history rhymes, it could be the setup for a strong rebound. Market analyst and economist Timothy Peterson believes that the cryptocurrency could see a recovery of around 21% within the next week, based on recurring patterns observed over the past decade.
October has long been known as one of Bitcoin’s most favorable months, earning the nickname “Uptober” among traders. Data from CoinGlass shows that since 2013, Bitcoin’s average return in October has hovered near 20%, second only to November’s stronger performance. According to Peterson, when Bitcoin suffers a sharp drop early in the month, it often stages a powerful comeback shortly after – as happened in 2017, 2018, and 2019.
This time, Bitcoin’s slide followed geopolitical tensions. The market reacted sharply after President Donald Trump revealed a plan to impose 100% tariffs on Chinese imports, a move that sent shockwaves through global markets. Bitcoin briefly dipped to around $102,000 before quickly regaining ground and stabilizing above $111,000, signaling that investors were not ready to abandon their positions.
If October’s historical pattern plays out, Bitcoin could rally close to its recent record of $125,000 by next week, effectively erasing the losses from the tariff-induced selloff. Analysts view the quick rebound as a potential indication that the correction has run its course.
Prominent Bitcoin supporters are already calling this the bottom. Jan3 founder Samson Mow noted that “there are still 21 days left in Uptober,” hinting that the best may still be ahead. Michael van de Poppe, founder of MN Trading Capital, went further, arguing that this pullback marks the final shakeout before a broader market recovery.
Even long-term observers see the turbulence as part of a maturing market cycle. Some analysts point out that extreme volatility has always been part of Bitcoin’s evolution – and that in future bull runs, drops measured in hundreds of thousands could seem routine. As one commentator quipped, “In a few years, we’ll see Bitcoin fall from $1 million to $800,000 in a day and call it just another dip.”
For now, the crypto market seems to be holding its breath. October’s track record has investors hopeful that the current weakness may be nothing more than another setup for a classic Uptober rebound.
