Is Bitcoin About To See A Repeat Of 2020-2021? What Happened After The Last Flash Crash
On October 20, 2025, the crypto market saw a major flash crash that despatched Bitcoin down 20%, and altcoins suffered between 50% and 80% losses in consequence. Reports from knowledge trackers present that greater than $19 billion in leveraged positions have been liquidated in consequence. This led to the biggest liquidation occasion within the crypto trade up till that time, resulting in comparisons and speculations that this could possibly be a repeat of the infamous COVID-19 crash of 2020.
What It Means For Bitcoin And Crypto If This Is A Repeat Of 2020
One of the important thing crypto gamers who has identified that the present cycle could possibly be just like that of 2020 is crypto analyst Rekt Fencer. Fencer took to X (previously Twitter) to share with their over 330,000 followers, a side-by-side chart exhibiting the 2020 efficiency in contrast to what’s taking place now in 2025.
To put this in perspective, again in 2020, the crypto market suffered a flash crash the place the Bitcoin worth fell by greater than 50%, and the altcoin market adopted. This was a results of the COVID-19 lockdowns that have been introduced around the globe in a bid to curb the unfold of the virus.
In response to the shutdowns, the inventory market had crashed, taking Bitcoin and the crypto market down with it. This led to over $1.2 billion in day by day liquidation, which on the time was essentially the most vital liquidation in crypto historical past. However, this determine now pales compared to the over $19 billion in liquidations that were recorded final week.
Despite the disparity within the liquidation volumes, crypto analyst Rekt Fencer believes that this might result in a repeat of what occurred after the COVID-19 crash. Back then, the bounce from the crash had been speedy. By 2021, one yr later, your complete crypto market had risen to new all-time highs.
Taking that efficiency and utilizing it to map out the Bitcoin and crypto market performance after final week’s crash, it will imply that the market is prepared for an additional bull run. It would additionally put the market on the backside of the bull run, which means that the Bitcoin worth is much from its all-time high worth.
Rekt Fencer explains that “History is about to repeat itself” and “The actual transfer begins when everybody thinks it’s over.” Thus, one other explosive rally could possibly be proper on the horizon, if this isn’t the beginning of a bear run.
