Bitcoin has been declared dead over 470 times. It has crashed by 80% or more on multiple occasions. It has also recovered each time to reach new highs. Love it or dismiss it, Bitcoin’s history is one of the most remarkable stories in financial markets. Here is a condensed timeline of how we got here.
2008–2010: The Genesis
In October 2008, an anonymous figure using the name Satoshi Nakamoto published a whitepaper titled “Bitcoin: A Peer-to-Peer Electronic Cash System.” On 3 January 2009, the first Bitcoin block (the “genesis block”) was mined.
For its first year, Bitcoin had essentially no market value. The first known commercial transaction occurred on 22 May 2010, when programmer Laszlo Hanyecz paid 10,000 BTC for two pizzas — an order worth approximately $41 at the time. Those coins would be worth hundreds of millions of pounds at later peaks.
By July 2010, Bitcoin was trading at around $0.08.
2011: First Bubble and First Crash
Bitcoin rose from $1 in February 2011 to $31 in June — a 3,000% gain in four months. Then it crashed to $2 by November 2011, a fall of over 93%.
This was the first of Bitcoin’s dramatic boom-and-bust cycles. Media outlets published early obituaries. Forbes, Wired, and others questioned whether the experiment was over.
The Bitcoin Obituaries tracker began cataloguing these declarations. In 2011 alone, Bitcoin was declared dead 6 times.
2013: Two Bubbles in One Year
Bitcoin started 2013 at $13. By April it had reached $266 before crashing back to $50 — an 81% fall. Then, remarkably, it rallied again to reach $1,163 in December 2013.
This was driven partly by the Cyprus banking crisis (which highlighted Bitcoin’s appeal as an alternative to the traditional banking system) and growing media coverage. The subsequent crash took the price down to around $170 by January 2015 — an 85% drawdown.
Bitcoin was declared dead 124 times in 2013 and 2014 combined.
2017: Mainstream Mania
After two quiet years of gradual recovery, Bitcoin entered 2017 at around $1,000. By December, it reached nearly $20,000. The rally was fuelled by the ICO (Initial Coin Offering) boom, retail investor enthusiasm, and intense media coverage.
The crash that followed took Bitcoin down to approximately $3,200 by December 2018 — an 84% fall. The ICO market collapsed almost entirely, with many projects turning out to be scams or vaporware.
Bitcoin obituaries in 2017–2018: over 150.
2020–2021: Institutional Adoption
The COVID-19 pandemic and subsequent global monetary stimulus triggered a new bull market. Bitcoin started 2020 at around $7,200 and reached an all-time high of approximately $69,000 in November 2021.
This cycle was different in character: institutional investors, publicly listed companies (notably MicroStrategy and Tesla), and major payment platforms (PayPal, Square) entered the market. El Salvador adopted Bitcoin as legal tender.
The crash that followed took Bitcoin below $16,000 by November 2022 — a 77% fall, exacerbated by the collapse of the Terra/Luna stablecoin ecosystem and the implosion of the FTX exchange.
2023–2025: ETFs and Recovery
Bitcoin recovered through 2023 and into 2024, driven by anticipation and then approval of spot Bitcoin ETFs in the United States in January 2024. These ETFs allowed traditional investors to gain Bitcoin exposure through regulated brokerage accounts for the first time.
By late 2024, Bitcoin had surpassed its previous highs. The ETFs attracted billions in inflows, and institutional participation broadened further.
Throughout this period, Bitcoin continued to be declared dead periodically. As of early 2026, the Bitcoin Obituaries count exceeds 470.
The Pattern: Boom, Bust, Higher Floor
Bitcoin’s history shows a recurring pattern:
| Cycle | Peak | Trough | Drawdown |
|---|---|---|---|
| 2011 | $31 | $2 | -93% |
| 2013–15 | $1,163 | $170 | -85% |
| 2017–18 | $19,783 | $3,200 | -84% |
| 2021–22 | $68,789 | $15,632 | -77% |
Each crash has been brutal, but each trough has been higher than the previous cycle’s peak. The 2022 low of $15,632 was still higher than the 2017 peak of $19,783 — until it wasn’t (temporarily). By the time the next recovery took hold, Bitcoin had surpassed all previous highs once again.
This pattern is not a guarantee of future performance. Past recoveries do not mean the next crash will recover. But it does explain why long-term holders have remained despite the volatility.
What Does This Mean for Your Financial Plan?
Bitcoin’s history teaches several important lessons for financial planning:
- Volatility is the price of admission — if you cannot stomach 50-80% drawdowns lasting 12-18 months, crypto is not for you
- Time in the market matters — almost everyone who bought Bitcoin and held for at least 4 years has been profitable, but many who traded short-term have lost money
- Position sizing is everything — a 5% allocation that goes to zero hurts; a 50% allocation that goes to zero is devastating
- Predictions are unreliable — the asset has defied both its harshest critics and most enthusiastic advocates repeatedly
- Your financial plan comes first — pensions, ISAs, emergency fund, and protection should all be in place before allocating anything to crypto
Whether Bitcoin ultimately proves to be a transformative monetary technology or a speculative episode, its history is a powerful reminder that financial markets can behave in ways nobody predicts — and that the most important thing is having a plan that survives whatever happens.
Important: This article is for general educational purposes only and does not constitute financial advice. Tax rules can change and individual circumstances vary. If you need advice tailored to your situation, please consult a qualified, FCA-regulated financial adviser. You can browse advisers in our adviser directory.