The cryptocurrency market faced a significant flash crash on October 20, 2025, with Bitcoin plummeting by 20% and altcoins suffering losses between 50% and 80%. This event resulted in over $19 billion in leveraged positions being liquidated, marking the largest liquidation event in crypto history. Analyst Rekt Fencer drew parallels between this crash and the 2020 market downturn caused by COVID-19 lockdowns, highlighting the strong market rebound in 2021. Fencer suggested that the current downturn might indicate the beginning of a new bull cycle, with Bitcoin potentially at the bottom of a new market upswing.