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Bitcoin (CRYPTO: BTC) is experiencing the same kind of shock traditional markets see once in a generation — only Bitcoiners endure it every 18 months, says Anthony Pompliano, who argues the current correction is entirely normal.
What Happened: In a new CNBC interview, Pompliano explained that Bitcoin has logged 21 drawdowns of more than 30% over the past decade, including seven drops exceeding 50%. For long-term holders, this isn’t chaos, it’s routine.
What is unusual, he noted, is the wave of traditional finance investors who aren’t accustomed to such volatility, especially heading into year-end when bonus season, redemptions, and portfolio reshuffling amplify sell pressure.
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Pompliano says the leverage reset has already happened, eliminating the risk of cascading liquidations. He continues to accumulate BTC and expects a period of consolidation followed by a steady grind higher.
What’s Next: Pompliano argues the current 35% drawdown fits cleanly within Bitcoin’s historical norms and is more consistent with a bottoming phase than the start of an 80% bear-market collapse.
He points out:
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Volatility has already been cut in half versus previous cycles
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Extreme fear readings (BTC at 8, equities at 6) signal capitulation
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October’s liquidation wave flushed out excess leverage
Looking ahead, he believes Bitcoin can still deliver 20%–35% annual returns over the next decade, outperforming equities even if its previous 240x decade-long rally won’t repeat.
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On altcoins, Pompliano notes that Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL) haven’t led this cycle the way they did in past euphoric blow-offs.
Wall Street’s adoption started with Bitcoin, but he expects institutional attention to broaden over time, with BTC remaining the dominant store-of-value asset.
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