#ChristmasMarketAnalysis

For seasoned investors, this phenomenon has become a recurring pattern, with Bitcoin and other cryptocurrencies often taking a hit during Christmas and the surrounding weeks.

But why does this happen? Is it a coincidence, or are there underlying factors driving the trend? Let’s dive into the history of Christmas price dumps in crypto and what traders should watch for this year.

Historical Christmas Dumps in Crypto

Looking back, several holiday seasons have seen notable price dips across the crypto market:

Christmas 2017

What Happened?

After Bitcoin reached its then all-time high of $19,783 in mid-December, it began a sharp correction right before Christmas, dropping to around $13,800. This marked the start of a prolonged bear market.

Why?

Many investors took profits after Bitcoin’s meteoric rise that year, leading to a sell-off.