333% Soaring Returns…The Formula for Making Money in a Bitcoin Bear Market

▲ Bitcoin (BTC) ©CoinReaders

The fact that investors who bought when fear was at its peak ultimately reaped the largest profits is once again drawing market attention.

According to the investment media outlet The Motley Fool on April 16 (local time), an investment of $1,000 in Bitcoin (BTC) during the previous bear market has now grown to approximately $4,330, recording a profit of about 333%. At the time, the market sentiment was despairing, but in retrospect, it was considered a historical opportunity to buy at a low point.

On January 1, 2023, when Bitcoin was around $16,600, its price had plunged by about 77% from its previous high. Further declines were widely predicted in the market, and investor sentiment was so depressed that buying itself was a target of ridicule. However, as the subsequent upward cycle unfolded, those who bought at that time reaped significant profits.

The current market also shows a similar structure. It is down approximately 43% from its peak in October 2025, and the deterioration of the macroeconomic environment, including Middle East tensions, oil price volatility, and delayed interest rate cuts, is weighing on risk assets across the board. In particular, the flash crash in October 2025 acted as the starting point of the bear market, dampening investor sentiment.

This situation is structurally similar to the 2022 bear market. At that time, the market also rapidly contracted due to a confluence of exchange collapses, stablecoin de-pegging, and interest rate hikes, leading to a prolonged lack of recovery momentum. Currently, pressure centered on macroeconomic variables continues, and Bitcoin is experiencing selling pressure as a risk asset.

However, past cases leave one implication: the strategy of dollar-cost averaging in a low-point range, even without pinpointing the exact bottom, proved effective. The media suggested a dollar-cost averaging investment strategy, consistently buying a fixed amount, and assessed that the current bear market could once again be an opportunity. However, this approach comes with the premise that it is only suitable for investors who can tolerate high volatility.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*