{"id":21331,"date":"2022-12-28T11:54:06","date_gmt":"2022-12-28T11:54:06","guid":{"rendered":"https:\/\/zebpay.com\/in\/?p=21331"},"modified":"2022-12-28T11:54:07","modified_gmt":"2022-12-28T11:54:07","slug":"biggest-bear-market-phases-in-history","status":"publish","type":"post","link":"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history","title":{"rendered":"Biggest Bear Market Phases In History"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#28th_December_2022_ZebPay_Trade-Desk\" title=\"28th December 2022 | ZebPay Trade-Desk\">28th December 2022 | ZebPay Trade-Desk<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_1929_Great_Depression\" title=\"The 1929 Great Depression\">The 1929 Great Depression<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_2007_Financial_Crisis\" title=\"The 2007 Financial Crisis\">The 2007 Financial Crisis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_Dot_com_Bubble\" title=\"The Dot com Bubble\">The Dot com Bubble<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_Black_Monday_1987\" title=\"The Black Monday (1987)\">The Black Monday (1987)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_stock_market_crash_of_1973-1974\" title=\"The stock market crash of 1973-1974\">The stock market crash of 1973-1974<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#The_Cyprus_Crash_2000-2013\" title=\"The Cyprus Crash (2000-2013)\">The Cyprus Crash (2000-2013)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#Third_Bitcoin_Bear_Market_2017\" title=\"Third Bitcoin Bear Market (2017)\">Third Bitcoin Bear Market (2017)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/zebpay.com\/in\/blog\/biggest-bear-market-phases-in-history\/#Shortest_Bear_Market_Ever_2020\" title=\"Shortest Bear Market Ever (2020)\">Shortest Bear Market Ever (2020)<\/a><\/li><\/ul><\/nav><\/div>\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"28th_December_2022_ZebPay_Trade-Desk\"><\/span>28th December 2022 | ZebPay Trade-Desk<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>After two years of a Quantitative Easing-fueled rise, global markets have encountered significant headwinds. We are currently in a bear market. Everything appears to be in a downtrend, not just stocks and crypto. Bitcoin is down 70% from its peak, and stock indices are down more than 20%. In this time of low confidence, let&#8217;s take a deep dive into the worst bear markets in history and see how the markets recovered from them.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_1929_Great_Depression\"><\/span>The 1929 Great Depression<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The 1929 bear market, caused by the Great Depression, is the largest in history. The September 1929 stock market crash was the first domino to fall which caused several banks to default triggering a chain reaction of collapsing institutions. All of this increased unemployment to 25% and drove the stock market down by more than 85%. It took the Second World War to repair the damage, as the market did not fully recover until January 1945.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_2007_Financial_Crisis\"><\/span>The 2007 Financial Crisis<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Before its demise, Lehman Brothers was the world&#8217;s fourth-largest investment bank. Leading up to one of the largest housing market bubbles in recent history, the company underwrote over $80 billion in mortgage-backed securities. Due to the lack of background checks, people with the worst credit were able to obtain massive mortgages that they could never afford.&nbsp;<\/p>\n\n\n\n<p>When home prices fell, many of these people defaulted on their mortgages \u2014 the same mortgages that backed investment banks&#8217; portfolios, such as Lehman Brothers. It didn&#8217;t take long for Lehman Brothers to fail, bringing the entire economy down with it. During the next 18 months, the S&amp;P 500 lost nearly half of its value, while most major economies entered deep recessions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Dot_com_Bubble\"><\/span>The Dot com Bubble<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Another crash that many people remember is the Dot-com Bubble. Investor interest in technology stocks was at an all-time high in the years leading up to the turn of the decade. The mood was so upbeat that people would buy anything in that market because of peer pressure. This worked well for many people until the internet-fueled Nasdaq came to a halt. The S&amp;P 500 lost more than half of its value, and many businesses failed.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Black_Monday_1987\"><\/span>The Black Monday (1987)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Black Monday is remembered as the Dow Jones&#8217; most violent correction in history. The stock market lost a quarter of its value in a single day in October 1987. That day became known as Black Monday. It took another two months for the market to find its bottom, causing the value to fall another 11%. For comparison, Black Monday was twice as intense (in terms of percentage) as the reddest day of the covid crash in 2020.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_stock_market_crash_of_1973-1974\"><\/span>The stock market crash of 1973-1974<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Economists have had good expectations since 1973. Markets have experienced significant growth since then and no one expected this to change any time soon. Days before the crash, Time Magazine wrote about its vision for another year of stable performance. Meanwhile, world economies slipped into recession. In just two years, the U.S. economy\u2019s GDP growth rate fell to negative -2.1% from a positive 7.1%, while inflation rose to 12%. Similar effects were felt around the world, leading to a slow decline in many major indices.<\/p>\n\n\n\n<p>The decline lasted nearly 700 days and halved the value of the S&amp;P 500 again. The United States entered a period of stagflation, with inflation reaching 25%. It wasn&#8217;t until 1993 that the US stock markets reached a new all-time high.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Cyprus_Crash_2000-2013\"><\/span>The Cyprus Crash (2000-2013)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>This bear market takes the trophy for the largest percentage losses in history. After peaking in November 1999, the Cyprus stock market entered the most brutal and devastating bear market in world history. Over the next five years, it lost 92% of its value.<\/p>\n\n\n\n<p>Read more: <a href=\"https:\/\/zebpay.com\/in\/blog\/tips-for-bear-market\" target=\"_blank\" rel=\"noreferrer noopener\">Tips For Bear Market<\/a><\/p>\n\n\n\n<p>As if that wasn&#8217;t enough, the market endured a multi-year rebound only to correct another 86%. It bottomed out in October 2013. Since the 1999 peak, the market has lost a whopping 99.2% of its value. Think about it: a 99.2% correction means the market has lost another 90% of its value after already losing 90%.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Third_Bitcoin_Bear_Market_2017\"><\/span>Third Bitcoin Bear Market (2017)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>We included this one on our list because it&#8217;s probably the most familiar to many of you. After Bitcoin surged to $20,000, it lost more than 60% of its value in just a few months. After facing many hurdles, Bitcoin bottomed at $3,200 in December 2018.<\/p>\n\n\n\n<p>Read more: <a href=\"https:\/\/zebpay.com\/in\/blog\/bitcoin-price-prediction\" target=\"_blank\" rel=\"noreferrer noopener\">Bitcoin price prediction<\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Shortest_Bear_Market_Ever_2020\"><\/span>Shortest Bear Market Ever (2020)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The recent bear market caused by the outbreak of the coronavirus was the shortest bear market ever. After the stock market crash in early March, it took just six months for the stock market to recoup its losses. As central banks around the world resorted to quantitative easing, this bear market marked the beginning of a steep bull run that ended after a few months. The end of this bull market led to the economic winter we are in today.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>28th December 2022 | ZebPay Trade-Desk After two years of a Quantitative Easing-fueled rise, global markets have encountered significant headwinds. We are currently in a bear market. Everything appears to be in a downtrend, not just stocks and crypto. Bitcoin is down 70% from its peak, and stock indices are down more than 20%. In [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":21340,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_ayudawp_aiss_exclude":false,"footnotes":""},"categories":[26],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/posts\/21331"}],"collection":[{"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/comments?post=21331"}],"version-history":[{"count":0,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/posts\/21331\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/media\/21340"}],"wp:attachment":[{"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/media?parent=21331"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/categories?post=21331"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zebpay.com\/in\/wp-json\/wp\/v2\/tags?post=21331"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}