How Often Does the Nasdaq Fall 10%?
Direct answer
Nasdaq 10% declines by the numbers
Often. Counting every time the Nasdaq Composite fell at least 10% from a record close before setting a new record, we found 32 such declines from 1971 to November 2026, roughly one every 1.7 years. Nineteen stopped between 10% and 20% (corrections) and 13 went deeper (bear markets). For the corrections, the median fall lasted about 52 days and the index took a median of about 56 more days to get back to its old high.
- 32 declines of 10% or more from a record close since February 1971
- 19 corrections (10–20%) and 13 bear markets (20% or more)
- Median correction: about 52 days down, about 56 days to recover
- Latest: −11.9% from the Oct 6, 2026 record to Nov 5, 2026
A 10% drop feels dramatic when it happens, but in the Nasdaq's history it is a regular event. Knowing how regular helps you decide in advance what you will do the next time.
What people on X are asking
After a sharp sell-off on November 9, 2026, one account asked whether it was a normal correction or the start of something worse. Back in September 2025, another post asked how likely a correction from all-time highs is and shared a chart of past S&P 500 corrections. We do not reuse that chart; below we measure the Nasdaq Composite ourselves from FRED data.
The fact-checked answer
How we counted. We used daily Nasdaq Composite closes from FRED starting February 5, 1971. Each episode starts at a record close, includes the lowest close before the next record, and counts if that low was at least 10% below the record. Smaller dips inside a bigger fall are not counted separately.
UXS chart
Nasdaq Composite: percentage below its previous record close
Decline from prior record, %: latest
-8.50%
November 9, 2026
Highest in chart period
0.00%
February 5, 1971
Lowest in chart period
-77.93%
October 9, 2002
Change over 1 year
-4.52 pts
vs November 7, 2025
Every Nasdaq Composite decline of 10% or more since 2015
Computed by UXS from FRED NASDAQCOM daily closes, calendar days. Price index only; dividends excluded. Tap a column header to sort.
| Jul 20, 2015 | Feb 11, 2016 | −18.2% | 206 | 176 |
| Aug 29, 2018 | Dec 24, 2018 | −23.6% | 117 | 120 |
| May 3, 2019 | Jun 3, 2019 | −10.2% | 31 | 30 |
| Feb 19, 2020 | Mar 23, 2020 | −30.1% | 33 | 77 |
| Sep 2, 2020 | Sep 23, 2020 | −11.8% | 21 | 63 |
| Feb 12, 2021 | Mar 8, 2021 | −10.5% | 24 | 49 |
| Nov 19, 2021 | Dec 28, 2022 | −36.4% | 404 | 428 |
| Jul 10, 2024 | Aug 7, 2024 | −13.1% | 28 | 83 |
| Dec 16, 2024 | Apr 8, 2025 | −24.3% | 113 | 80 |
| Oct 29, 2025 | Mar 30, 2026 | −13.2% | 152 | 16 |
| Oct 6, 2026 | Nov 5, 2026 (so far) | −11.9% | 30 | not yet |
The long-run summary. From February 1971 to November 2026 we count 32 declines of at least 10%: 19 corrections that stopped short of 20%, and 13 bear-market-sized falls. That is about one 10% decline every 1.7 years and one 20% decline every 4.3 years. The median correction lasted about 52 calendar days from record to low and took about 56 more days to reach a new record. Bear markets are a different animal; see what a bear market is for those numbers.
The current drop. The index closed at a record 27,599.89 on October 6, 2026 and at 24,315 on November 5, 11.9% lower, which qualifies as a correction. It closed at 25,253.14 on November 9. Whether it becomes a deeper fall is unknowable in advance.
Why the Nasdaq falls more often than broader indexes. It is concentrated in technology and growth companies, whose valuations are sensitive to interest rates and earnings expectations. The S&P 500 vs Nasdaq-100 comparison shows how much bigger the swings are.
How bitcoin behaves during Nasdaq sell-offs is covered in is bitcoin correlated with the Nasdaq.
Whether a fall is linked to a recession is a separate question; one indicator is the inverted yield curve.
Oversold momentum readings often cluster around corrections; see whether an RSI above 70 or below 30 predicts the next move.
A 10% fall is a large dollar move on futures; see what one point is worth on NQ and MNQ.
Year-end seasonality is a separate question; see how often the Santa Claus rally happens.
Check which Nasdaq index a headline means; see Composite vs Nasdaq-100.
Options markets price that extra risk; see why the VXN Nasdaq volatility index is usually higher than the VIX.
Decision helper
| If the Nasdaq is down… | Historically this has been | What long-term investors often do |
|---|---|---|
| 5% | Very common, many times a year | Nothing |
| 10% | About every 1.7 years | Check that their plan still fits |
| 20% | About every 4.3 years | Rebalance if their plan says so |
| 35%+ | Rare: 1973–74, 1987, 2000–02, 2022 | Expect a recovery measured in years, not months |
Checklist for the next 10% drop
- Decide now whether you will buy, hold or rebalance at −10%, −20% and −30%.
- Keep money you need within two years out of stocks.
- Check your actual exposure: many funds are heavy in the same tech names.
- Avoid leverage that could force you to sell at the low.
- Do not judge the drop by daily headlines; compare it with the table above.
Quick poll
What do you usually do when the Nasdaq falls 10%?
What each answer means
- Buy more: Historically most 10% declines recovered within months, but some kept going to −36% or −78%. Buying in steps lowers the risk of buying too early.
- Hold and do nothing: For long-term holders this has usually worked, provided they did not need the money during the drop.
- Sell to avoid a bigger fall: Selling locks in the loss; corrections recovered in a median of about 56 days, so timing a re-entry is hard.
- Hedge or reduce risk: Reasonable if your exposure was too high to begin with; hedges cost money when markets rebound.
Your answer is stored only in this browser (localStorage). UXS does not collect, count or publish votes, so no totals are shown.
Common mistakes
- Assuming every 10% drop becomes a crash, or that none will.
- Measuring declines from intraday highs and lows, which makes them look bigger than closes.
- Forgetting that price indices exclude dividends, so total-return recoveries are a bit faster.
- Using leverage, which turns a normal correction into a margin call.
FAQ
How often does the Nasdaq have a 10% correction?
About once every 1.7 years on our count of 32 declines of 10% or more since 1971, though they cluster in some periods.
How long do Nasdaq corrections last?
For declines that stopped between 10% and 20%, the median was about 52 days from the record close to the low.
How long does recovery take?
For those corrections, a median of about 56 days from the low to a new record. After bear markets it took much longer.
What is the biggest Nasdaq decline?
77.9% from March 10, 2000 to October 9, 2002. The index did not close above its 2000 record until April 23, 2015.
Is the Nasdaq in a correction now?
It fell 11.9% from the October 6, 2026 record to November 5, 2026, which meets the usual 10% definition.
Is a correction a good time to buy?
History shows recoveries, but not their timing or depth. Spreading purchases over time is one way to manage that uncertainty.
Sources
- FRED: NASDAQ Composite Index (NASDAQCOM)
- Nasdaq: Nasdaq Composite index overview
- SEC Investor.gov: Bear market
Facts checked November 10, 2026. X posts are cited as evidence of the question, not of the answer.