"Big Short" Michael Burry: Current Bitcoin Trend May Repeat 2022 Bear Market Rhythm

"Big Short" Michael Burry stated that the current decline in Bitcoin resembles the bear market phase of 2022, sparking discussions about the depth of this adjustment.

Burry posted a chart on the X platform comparing the drop of BTC from around $126,000 to about $70,000 with the early decline of the 2021-2022 bear market. In the previous cycle, Bitcoin fell from around $35,000 to below $20,000 before gradually stabilizing. If calculated based on a similar percentage drop, some market participants believe the theoretical risk range could point to around $50,000, although Michael Burry did not provide a specific target price.

The market has also questioned the validity of single historical cycle comparisons, with trading institutions noting that forming a "pattern" based solely on one historical event has limited reference value. The current market environment differs significantly from that of 2021-2022, including institutional liquidity brought by spot Bitcoin ETFs, changes in market leverage structure, and a macro environment shifting from an aggressive rate hike cycle to one dominated by cross-asset volatility.