What is a crypto winter?
Cryptocurrency trading first launched with Bitcoin (BTC +0.82%) in early 2009, so everything we know about crypto and its patterns is only about 15 years old at this point. Even so, the phrase "crypto winter" has been developed to describe times when cryptocurrencies and tokens take a huge, across-the-board hit in value.
This is generally due to long-term negative sentiment. The value that cryptos have to shed to be considered in a crypto winter is unclear, but if we follow the rule of thumb for bear markets, it would be about 20%. As time goes on, these benchmarks will be more firmly established with historical data.