Bitcoin recently experienced a slump, but an economist suggests a potential rebound of up to 21% within the next seven days, contingent on historical trends. Timothy Peterson, an economist, noted that substantial drops exceeding 5% in October have been infrequent over the past decade. He pointed out that such occurrences took place in October 2017, 2018, 2019, and 2021.

Following these past declines, Bitcoin demonstrated recovery, with rebounds of 16% in 2017, 4% in 2018, and 21% in 2019. The year 2021 was an exception, during which the cryptocurrency continued to decline by 3%. Historically, October has been a strong month for Bitcoin, often referred to as "Uptober". Since 2013, October has been Bitcoin's second-best performing month, with an average return of 20.10%, only surpassed by November's average gain of 46.02%.

These comments from Peterson followed a drop in Bitcoin's price to $102,000 on Friday. This downturn coincided with the announcement by U.S. President Donald Trump of a 100% tariff on China. However, Bitcoin has slightly recovered to $112,468 after reaching a new all-time high of $125,100 earlier in the week.

If history repeats itself, and Bitcoin mirrors its most significant October rebound, a 21% surge from Friday's low of $102,000 could potentially place the cryptocurrency just below its all-time high, around $124,000, within a week.

Despite the recent slump, some Bitcoin proponents remain optimistic about the cryptocurrency's potential. Samson Mow, founder of Jan3, noted that there are still 21 days left in "Uptober," implying potential for further gains. Michael van de Poppe, founder of MN Trading Capital, shares this confidence in a continued uptrend.