Post-ICO crypto winter (2018)
Bitcoin fell from roughly $20,000 in December 2017 to about $3,200 a year later, ending the initial coin offering boom. Exchanges that had scaled aggressively during the 2017 rally cut staff, and many ICO-funded projects ran out of money before shipping product.
Trading volumes collapsed across major exchanges, smaller venues shut down, and US regulators began aggressive enforcement against unregistered token sales.
The cycle weeded out speculative projects and reset cost bases. Survivors used the downturn to build institutional products, which underpinned the 2020-2021 rally.
Demonstrates the recurring pattern: exchanges scale to peak-cycle revenue, retail interest fades, and the next 12-24 months are spent shrinking back to a sustainable cost base.
