Bitcoin Experiences Decline but Cryptocurrency Remains Viable, Experts from Northeastern Affirm
Bitcoin has recently undergone a significant price drop, with its value falling approximately 32% from October through November 2025, a correction that Northeastern University experts explain as part of the typical cyclical volatility in cryptocurrency markets.
This decline, although steep, aligns closely with Bitcoin’s historical average drawdowns. Since 2010, Bitcoin has experienced at least a 10% price decrease around 50 times, averaging a 30% drop from peak to trough during these corrections. Since the bottom in November 2022, the cryptocurrency has witnessed nine such corrections, affirming that volatility is a normal aspect of Bitcoin’s market dynamics during bull cycles.
Northeastern experts highlight Bitcoin’s price fluctuations as part of a widely observed four-year cycle tied to its inherent supply halving mechanism—a programmed reduction of new Bitcoins released approximately every four years. Historically, these halvings have been followed by substantial price increases, succeeded by significant corrections as seen today.
Market indicators suggest that Bitcoin may have already bottomed out in this cycle. The put option skew—the difference in pricing between protective put options and call options—has reached high levels for three to six month durations, suggesting that investors are extensively hedging against further downside risk. In addition, major digital asset trusts (DATs) are trading below their net asset values, indicating reduced speculative trading positions, which often precedes market recoveries.
Despite short-term volatility, long-term forecasts remain cautiously optimistic. Forecasters expect Bitcoin’s price to recover and potentially reach averages close to $87,500 by December 2025. Other projections from various cryptocurrency analysts anticipate prices ranging from $87,800 to over $100,000 within a year or two, driven by Bitcoin’s limited supply and increasing institutional acceptance.
The experts also draw attention to macroeconomic factors influencing cryptocurrency valuation. Low real interest rates tend to weaken the U.S. dollar and bolster assets that serve as alternatives, including Bitcoin and gold. Potential Federal Reserve rate cuts could further enhance demand for Bitcoin as a non-correlated asset.
While the current downturn might unsettle some investors, Northeastern’s specialists emphasize that such fluctuations are part of cryptocurrency’s maturation process. Bitcoin, in particular, continues to demonstrate resilience through cycles of growth and correction, underpinned by technological innovation and expanding global adoption.
In summary, although Bitcoin’s recent price falls have attracted attention, the medium to long-term outlook remains positive according to Northeastern experts. The crypto market, despite bouts of volatility, continues to establish itself as an enduring financial ecosystem.