Bitcoin News

Story: Bitcoin, Ethereum, and XRP Drop as Traders Follow Classic Four-Year Cycle

By James Thorp

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Understanding the Four-Year Bitcoin Cycle. Historically, Bitcoin has followed a four-year cycle based on its halving events, when miner…

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The cryptocurrency market experienced significant declines this week, with Bitcoin dropping more than 9%, Ethereum falling 6%, and XRP plunging 15%. Some altcoins fared even worse.

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The sell-off accelerated after President Trump’s announcement of renewed China tariffs, triggering $19 billion in daily liquidations on October 10, 2025.

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For instance, Bitcoin reached an all-time high of $67,000 in November 2021 and subsequently fell over the following months.

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Matthew Nay, a research analyst at Messari, explained that some of the recent market weakness could be due to traders adhering to the four-year cycle.

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Jonathan Morgan, lead crypto analyst at Stocktwits, described the behavior as “mechanical selling” driven by expectations tied to the four-year cycle rather than underlying…

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Jasper De Maere, a desk strategist at Wintermute, noted that many retail traders still follow the old cycle-based playbook.

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Why Experts Believe the Cycle May Be Broken

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While some traders rely on the four-year cycle, many analysts argue that the traditional model may no longer hold due to significant shifts in the crypto market.

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De Maere emphasized that Bitcoin and the wider crypto space have matured. “The core drivers once used to explain the four-year cycle have just become more irrelevant as BTC and…

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Nay echoed this sentiment, suggesting that Bitcoin could potentially return to all-time highs before the end of 2025 despite the sell-off.

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The market’s recent volatility was intensified by the largest liquidation event in crypto history.

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Morgan explained that in the early days, miner rewards significantly influenced supply and price, making the four-year cycle a reliable predictor.

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While the four-year cycle may still influence some retail traders, the broader crypto market is increasingly shaped by institutional involvement.

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Analysts caution that while mechanical selling can create short-term pressure, the long-term trajectory of Bitcoin, Ethereum, and other major assets may no longer align with the…

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