Bitcoin Drawdown Near 30% Raises Questions Over Depth of Current Cycle Correction

Bitcoin’s ongoing correction has reached its deepest level of the current market cycle, but analysts say the pullback remains within historical norms.CryptoQuant analyst Darkfost noted in a post on X that Bitcoin is currently experiencing a drawdown of roughly 28%–30%, marking the largest correction seen so far in this cycle. Despite the decline, the move still sits within the average correction range observed since the bull market began.According to Darkfost, Bitcoin has so far avoided the sharper drawdowns that characterized previous cycles, including the 2017 bull run, where corrections frequently exceeded 35%–40%.The key uncertainty now is whether the current cycle will continue to be defined by relatively shallow retracements, or whether Bitcoin will eventually experience a deeper corrective phase that breaks its divergence from prior market cycles.“Bitcoin is currently stabilizing around a 28% drawdown,” Darkfost said, adding that the coming weeks will be critical in determining whether this correction represents a temporary reset — or the beginning of a more pronounced downside move.Analysts continue to monitor onchain data and macro conditions, with market participants watching closely to see whether demand returns before the correction deepens further.