- The fall of 2020 saw a significant price drop in Bitcoin, dubbed the “Thanksgiving Day Massacre,” where Bitcoin plunged from around $19,500 to $16,200 (nearly 17%) between November 25-26, 2020.
- Four years later, on November 26, 2024, Bitcoin experienced another decline, dropping about 8% to $91,500 after nearly reaching $100,000 a few days prior.
- After the 2020 “Massacre,” Bitcoin quickly rebounded, hitting new all-time highs above $24,000 by mid-December 2020 and eventually peaking at $65,000 in April 2021.
The price of bitcoin has seen a significant drop over the past few days, falling from around $100,000 down to $91,500. This steep decline is reminiscent of another pre-Thanksgiving plunge back in 2020, which became known as the “Thanksgiving Massacre.”
The 2020 Thanksgiving Crash
In November 2020, bitcoin was in the midst of a bull run. After starting the year around $7,000 and dropping below $4,000 during the March COVID-19 sell-off, bitcoin had recovered and was trading around $19,500 heading into the U.S. Thanksgiving holiday.
However, between the morning hours on the East Coast on Wednesday and the afternoon football games on Thursday, bitcoin suddenly plunged around 17% to $16,200. This swift crash became dubbed the “Thanksgiving Day Massacre” on crypto Twitter.
This Year’s Pre-Thanksgiving Plunge
Four years later, bitcoin is experiencing a similar pre-holiday plunge. After failing to decisively break through the $100,000 psychological barrier, bitcoin has tumbled around 8% over the past few days to trade around $91,500.
While not as severe percentage-wise as the 2020 crash, this steep drop after missing another major milestone will likely still leave some bulls feeling shaken. However, the aftermath of the 2020 Thanksgiving Massacre provides some hope.
The Aftermath in 2020
In 2020, bitcoin quickly recovered most of its losses. Within four days, it had returned to nearly $20,000. By mid-December, it set a new all-time high above $24,000. It closed out the year above $30,000 before ultimately peaking at $65,000 in April 2021.
Conclusion
Time will tell whether bitcoin can bounce back as strongly this time around. However, the 2020 Thanksgiving Massacre highlights bitcoin’s resilience. The bulls will be hoping history repeats itself heading into the holiday season.
