Bitcoin's November Slump Aligns With Historical Cycles, Grayscale Research Shows

Source: DefiPlanet Original Title: Bitcoin’s November Slump Aligns With Historical Cycles, Grayscale Research Shows Original Link:

Quick Breakdown

• Bitcoin’s November decline mirrors typical bull-market pullbacks, falling ~32% from peak to trough.
• Historical data shows Bitcoin averages 30% drawdowns, with November marking the ninth dip of the current cycle.
• Exchange inflows surged to 580,000 BTC since November 1, reflecting heightened trading activity amid price volatility.

Bitcoin’s Sharp Decline in Context

Bitcoin’s sharp decline in November appears to be more routine than alarming, according to new analysis from Grayscale. The asset fell roughly 32% from peak to trough during the month, marking the ninth significant pullback of the current bull cycle. Grayscale says the scale and timing of the decline closely follow Bitcoin’s long-term behaviour and offer no indication that the broader trend has reversed.

Despite recent volatility, research does not believe Bitcoin is entering a deep, multi-year cyclical decline. Expectations point to the potential for new highs next year, supported by improving macro conditions and a maturing market structure.

Bitcoin’s Drawdown Mirrors Past Bull-Market Corrections

The report highlights that Bitcoin has recorded around 50 drawdowns of at least 10% since 2010, with the average pullback hovering around 30%. November’s decline sits almost exactly at that threshold. The analysis notes that Bitcoin’s bull markets typically progress through steep surges followed by abrupt corrections lasting between eight and twelve weeks.

This pattern has remained consistent even as market structure evolves. During the ongoing cycle, Bitcoin has already experienced eight meaningful dips before the November retracement, each eventually giving way to renewed upward momentum.

No Signs of a Prolonged Down Cycle

Some traders see the recent drop as the start of a deeper reversal, but research paints a different picture. Analysts note that past multi-year downturns typically followed a parabolic price blow-off, something we haven’t seen this time around. They also point to the rising influence of institutional vehicles like ETFs and structured digital-asset products, which may be helping to temper extreme volatility and create a more measured market environment.

The conclusion is that, absent a blow-off top or a fundamental shift in investor behaviour, Bitcoin’s recent downturn fits squarely within its typical bull-market rhythm. The expectation is that the market will stabilize as long-term holders continue to accumulate and macro conditions remain supportive.

Exchange Inflows Signal Trading Activity

Global Bitcoin inflows to centralized exchanges have climbed to 580,000 BTC since November 1, 2025, marking one of the sharpest liquidity shifts this cycle. The surge reflects heightened trading activity as Bitcoin struggles to regain a firm footing near $90,000.