Bitcoin's Price Dips Back Down From Its Record High. Should Investors Buy the Coin Ahead of 2026?

Core Insights - Bitcoin, the largest cryptocurrency, reached over $126,000 for the first time on October 6, 2023, but has since seen a 9% decline as of October 13, 2023, raising questions about its future performance in 2025 and 2026 [1] - Historical patterns indicate that Bitcoin is likely to experience a significant crash of approximately 66% in 2026, following previous trends of substantial declines every four years [2][4] Price Patterns - Bitcoin has experienced major price crashes in 2014 (61%), 2018 (73%), and 2022 (64%), averaging a 66% decline, with these crashes occurring every four years, suggesting a similar event is expected in 2026 [4] - The mechanics of Bitcoin differ from stocks, as it operates on a four-year cycle influenced by mining rewards and supply dynamics, which are not applicable to traditional stock markets [5][8] Supply Dynamics - Bitcoin mining rewards are halved approximately every four years, affecting the circulating supply and creating significant supply-demand disruptions [6] - Historically, Bitcoin's price tends to rise in the years surrounding the halving event, but the fourth year often sees a major pullback as demand balances with the slowed supply growth [7]