Bitcoin experienced its fourth-worst first quarter since 2013, falling 23.21% in Q1 2026, according to CoinGlass data. This decline contrasts sharply with its historical average Q1 return of 45.90%, highlighting the current market reset. Ethereum also faced significant losses, dropping 33.73% in Q1, marking its third-weakest first quarter since 2016. Both cryptocurrencies remain well below their 2025 all-time highs, with Bitcoin trading at $69,070 and Ethereum at $2,041, despite recent gains of 4.34% and 4.04%, respectively, in the past 24 hours. Historical comparisons show Bitcoin's sharpest Q1 drop was in 2018, with a 49.7% decline. Ethereum's steepest Q1 contraction was also in 2018, at 46.61%. Despite these setbacks, institutional confidence remains strong, with figures like Eric Trump and Ric Edelman projecting significant long-term price targets. On-chain data suggests long-term holders are accumulating, supporting the view that structural demand persists despite short-term volatility.