No, the market had already fallen $1200 by then. That was just an excuse for a final capitulation and stop run below $3000. There was uncertainty for weeks in the market already. If anything, disaster news like that always means buy the next dip. Sell the rumor, buy the dip.


The correction was 40%, not 25%. And you are correct that this doesn't necessarily indicate a bear market (in crypto), but rather just volatility in a bull market. But remember, everyone is a genius in a bull market. You won't feel like a genius if this is the last chance to sell in the $4000s. As a survivor of 2013, I would just advise people to exercise caution. Exuberance will get you killed in this market.