According to @simplykashif citing a new Grayscale report, Bitcoin (BTC) has fallen roughly 30% since October, which Grayscale notes is consistent with about 50 similar drawdowns since 2010 and an average pullback near 30% (source: Grayscale). Grayscale adds that there have been nine dips since 2022 within an ongoing bull cycle, and the firm does not view the current move as the start of a deep bear phase (source: Grayscale). The report states that potential catalysts such as possible Federal Reserve rate cuts and improved U.S. crypto legislation could support market recovery and liquidity, and the firm expects new all-time highs next year (source: Grayscale). The historical takeaway highlighted by Grayscale is that such pullbacks are common in bull markets and have not typically derailed longer-term uptrends for patient holders (source: Grayscale).

According to the source, Grayscale's latest research reports the US dollar’s stability is under pressure and highlights BTC and ETH as potential hedges against fiat devaluation (source: Grayscale Research). The report positions Bitcoin and Ethereum as macro hedge assets for managing currency debasement risk in portfolios, emphasizing their use-case as alternative stores of value rather than short-term trades (source: Grayscale Research).