If Dow Jones falls 80%, bitcoin will fall 99% ?

[Marvelman]

From my observation, if the market in general crashes, bitcoin follows and since bitcoin and crypto are much more volatile than the other markets you see much bigger moves. So when you see a big move on the normal markets, then crypto goes crazy, both directions.

Yes. But a crash in bitcoin is different because it's simply because of fear rather than any fundamental factor or news, so that's much more scary for the users and they panic and don't know what to do. Bitcoin and other crypto is not like the normal stock market. It can be as small or as large as the people want it to be. It can be up or down or sideways but there is a psychological component there. People look at this as their emergency fund, a "what-if" or a rainy day fund. When they see something they like, they buy it and when they see something they don’t like they sell it. So it's a very self-fulfilling prophecy and it's psychologically much more scary than the stock market.

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[Yaunfitda]

From my observation, if the market in general crashes, bitcoin follows and since bitcoin and crypto are much more volatile than the other markets you see much bigger moves. So when you see a big move on the normal markets, then crypto goes crazy, both directions.

Possible, but I think the worst we can go is to hit the previous all time high of $19k and this could be the final capitulation. So it will be really crazy to see the price goes to that level, and we might hear a lot of negative things about crypto. But we've seen it before, crazy dip, then huge recovery in the bull market. Lots of scenario playing right now, but no one can see the future we will just have to prepare for the worse.

[Findingnemo]

It is remarkable that during all these 13 bitcoin years (2009-2021) we have witnessed no big stock market crash - the fiat money mass has only increased and increased.

During this period there have been no years like 1929 or even 2008. But when the last remarkable stock market fall emerged (in March 2020), bitcoin fell much more than major stock indexes...

How sharply will bitcoin price react to the next Big Crash ?

Go to coinmarketcap and choose bitcoin / USD price chart and set to all time there you will get the answer for how the price will recover after the dump, it is almost similar in long term but with short frame we will see the difference and can't able to predict the one particular pattern for its next move, this is the new investment driven by the holders alone.

[buwaytress]

Falls much more in a deep crash, but also climbs higher and with much stronger volumes in a spike/rally. Not exactly a new phenomenon, and even less surprising if you accept that the very same people investing in Bitcoin (if we want to say mainstream, then we accept this means stock investors simply diversifying their portfolio) are in stocks. So when they're liquidating or gaining more exposure in markets, they're applying the same across the board, spreading their risks across fiat, stocks, commodities, Bitcoin.

Think the extra impact on Bitcoin (fall or rise) is simply because those actions also influence pure Bitcoin speculators. OMG all the brokers are dumping/stockpiling, so me too!

[JaanusRaim]

S&P 500 has fallen 4% per day and 8% per week (Bitcoin 15% per day and 25% per week), and Binance has already paused withdrawals...

Lets imagine what will happen if the fall is (remarkably) bigger !

[Wilhelm]

Why does everyone imply Bitcoin is linked to the American financial system?

[STT]

Every price is bound to the Dollar, its the global reserve currency but there are bigger factors outside of the next high.  I think the next high in BTC is with Dollar making a proper low, it didnt do that this time really

Currency (backing) is weaker then stocks, just doesnt really add up to have a boulder split by a block of cheese :p   If they put the FED rate at 20% then sure we can see DOW into 4 figures or something along those lines.  I will say currency is weaker because its backed by debt and most of its short term so when they raise the rates its consuming the entire fiscal budget with zero left for even defence, etc.   Thats just not probable, weak currency is the weather this year and every year till we hit the 50 year storm & default.
  Even in chaos the companies quoted are global and not falling bound to just one economy.   Ditto BTC isnt one perspective, price highs reflect speculative appetite but BTC base case isnt reliant on excess easy money, its bound to greater factors I would hope then politics and its monetary debasement.

[Sir Legend]

The beginning of the year when the bitcoin price continued to fall from ATH and dropped below $50k there was a lot of speculation saying the trend would repeat every 4 years, now it's becoming more real, although many say it's due to external factors, namely inflation in the USA but I hope this isn't the beginning from death.