Is Bitcoin at a Bottom? Layoffs Are a Strong Indicator

Every Bitcoin bear market, which historically arrives on a four-year cycle, brings with it a fresh round of layoffs across the crypto industry. To some extent, that is only natural. During the euphoria of a bull run, the typically young crypto CEOs create jobs that they are then forced to cut during the bear market in order to keep costs under control.

Bitwise

This week it emerged that Bitwise is letting go of around 14% of its staff. It is far from alone. During this Bitcoin bear market, thousands of jobs have been cut worldwide.

In July 2026 alone, according to tracking platform CryptoJobsList, some 894 jobs were lost globally.

The figures published in the media show that the consolidation wave in the sector is still not entirely over. Since the start of 2026, CryptoJobsList has recorded more than 7,254 announced redundancies across some 47 different companies.

It was no different in 2022. Back then, FTX was the main culprit. Its bankruptcy in November of that year sent a genuine shock through the entire tech world, which saw around 20,000 jobs disappear.

Recovery

Although the crypto market has shown signs of recovery at various points in 2026, the layoff figures suggest many companies remain cautious.

The Bitcoin bottom bell has still not rung, but there are increasing signs that we are getting close.