How Long Will the US Stock Market Crash of 2025 Last?
President Trump’s recent implementation of sweeping tariffs has largely contributed to the sharp decline of the US stock market this year. The New York Stock Exchange and Nasdaq have both taken brutal beatings, and headlines are flying that this is “the worst crash since the Great Depression.” Not 2008, not 1987, not even the pandemic panic of 2020. No, we’re talking about the worst volatility in ninety-freaking-years.
You’re not alone if you’re staring at your retirement account like it personally betrayed or wondering whether your kids’ 529 plan is now just Monopoly money. If this is your first crash as an investor, welcome to capitalism and financial trauma. Pull up a seat and let’s talk strategy to survive this downfall.
But first, let’s look at how long these things typically last. Because while this one’s a beast, it’s not our first time watching Wall Street throw a tantrum.
In this article:
Historical Market Crashes: Lessons from the Past
1. Black Monday (1987): Wall Street Had a Panic Attack
2. Dot-Com Bubble Burst (2000-2002): Graduating High School in a Recession
3. Financial Crisis (2007-2009): Housing Crisis Right After College
4. COVID-19 Pandemic Crash (2020):
So… How Long Will the 2025 Crash Last?
The 2025 Tariff Crash Sucks, But It’s Not Your Last One
Historical Market Crashes: Lessons from the Past
We’ve been here before, millennials, and we’ve got the scar tissue to prove it. Millennials have lived through at least four major market disasters—and no, that’s not counting all the little “corrections” they tried to downplay on CNBC. Our generation has been the human stress test for capitalism since our first paycheck.
The dot-com bust hit when we were still watching MTV Cribs.
Then came the Great Recession just as we entered the workforce.
We finally got a little momentum—and boom—pandemic crash.
And now? Tariff-fueled turmoil that’s blowing through the NYSE like it’s made of Jenga blocks.
So, before you go stuffing your mattress with singles, take a look back at previous market crashes since 1985. What caused them, how bad did they get, and—most importantly—how long did it take to crawl back out? Because crashes suck, but they don’t last forever.
1. Black Monday (1987): Wall Street Had a Panic Attack While We Were Toddlers
On October 19, 1987, the Dow dropped 22.6% in a single day. Read that again. That’s like waking up with $100k in your portfolio and going to bed with $77k—and that’s just Monday.
Why it happened: A toxic combo of trade deficit drama, some dumb moves from the Fed, and the real villain: early computer trading. Automated sell orders spiraled into a full-blown meltdown—kind of like when Facebook’s algorithm pushes all your relatives into the same conspiracy hole, but with billions of dollars instead of brain cells.
How long it went down: Not that long. It was a swift, vicious plunge—but more like ripping off a Band-Aid than slow suffocation. The bulk of the pain hit in a matter of days.
How much it went down: The Dow dropped 508 points in one day, which back then was catastrophic.
Recovery time: Surprisingly fast. Within two years, markets were back to their pre-crash levels. That’s practically a power nap in economic terms.
2. Dot-Com Bubble Burst (2000-2002): Graduating High School in a Recession
In the early 2000s, we were rocking frosted tips and apparently throwing billions of dollars at companies with no revenue because they had a cool .com domain. What could go wrong?
Why it happened: Venture capital lost its damn mind, and the public followed. Tech startups were valued like they cured cancer even though most of them couldn’t turn a profit or ship a product. It was hype with a website and a Super Bowl ad. Eventually, reality called—and no one picked up.
How long it went down: About 2.5 brutal years, from March 2000 to October 2002. It was a slow-motion collapse, like watching your favorite show get worse with every season until it’s just embarrassing.
How much it went down: The Nasdaq—aka tech’s house of cards—dropped nearly 78% from peak to trough. Yeah. Let that number sit with you.
Recovery time: 15 years. No joke. If you bought in at the top, you didn’t see your money again until 2015. That’s not a dip. That’s a coma.
The takeaway: Valuation without substance is just vibes—and vibes don’t pay off your student loans. Also, diversification matters unless you enjoy crying into your E*TRADE statements.
3. Financial Crisis (2007-2009): Housing Crisis Right After College
This one hit different—because we were adults when it happened. Barely. We had jobs (kind of), debt (a lot), and dreams (LOL). Then, Wall Street’s mortgage casino blew up in everyone’s face.
Why it happened: Banks handed out home loans like candy, then chopped them up into weird financial sausage and sold them as “investments.” Shockingly, this didn’t end well. When borrowers defaulted, the whole financial system caught fire—and regular people got torched.
How long it went down: From October 2007 to March 2009. That’s about 17 months of watching your net worth crawl backward.
How much it went down: The S&P 500 lost 57%. And it felt worse because it came with a side of layoffs, foreclosures, and banks needing life support.
Recovery time: Around 4 years. By March 2013, the market had clawed its way back to pre-crisis levels. Just in time for us to be too broke to care.
The takeaway: When the people in charge of money gamble with housing and lose, we all pay. But markets recover—eventually. Even if your faith in capitalism doesn’t.
4. COVID-19 Pandemic Crash (2020): Starting Middle Age With A World-Wide Flash Crash
You remember this one because it was basically five minutes ago. While we hoarded toilet paper and learned how to mute Zoom, the world shut down, and so did the markets—fast.
Why it happened: Global pandemic. Total uncertainty. Entire industries shut down overnight. Airlines, retail, restaurants—just wiped out. It was like someone pulled the fire alarm on the entire economy.
How long it went down: Just one month—from late February to late March 2020. Blink and you missed the bottom.
How much it went down: The S&P 500 lost around 34% in a few weeks. Panic selling.
Recovery time: Here’s the wild part: it fully recovered by August 2020. Less than six months. Tech stocks even flourished. It was like the market took a Red Bull and said, “We good?”
The takeaway: Not every crash is a long-hauler. Sometimes fear tanks the market faster than fundamentals—and once the fear eases, the bounce back can be aggressive. If you sold in March, you missed one of the biggest rebounds in history. Oof.
So… How Long Will the 2025 Crash Last?
Nobody’s got a crystal ball, so if someone tells you exactly when this market will hit bottom or bounce back, check their credentials—then run. What we do know is that crashes are loud, scary, and messy—but they’re not permanent.
The 2025 crash may be bigger than anything we’ve seen since our grandparents were amassing canned peaches in their bomb shelters, but it’s still part of the same cycle: up, down, panic, recover. This one was triggered by tariffs and global market drama, but the cause doesn’t change the cure—time, patience, and strategy.
Here’s how you survive (and maybe even come out ahead):
Don’t panic-sell. Locking in losses is a losing game. The people who always “get burned by the market” are usually the ones who jump ship too soon.
Keep dollar-cost averaging. If you’re investing regularly, congrats—you’re buying the dip whether you feel like a genius or not. It’s boring, but it works. Welcome to wealth-building.
Diversify like your future depends on it—because it does. All-in on crypto or tech? Bless your heart. Spread it out: index funds, bonds, international. Don’t be the person who puts all their eggs in the “vibe-based investing” basket.
Stack cash if you need short-term security. If you’re gonna need that money in the next year or two? Park it in high-yield savings. Investing is not a quick fix, it’s a long game.
Zoom out. Look at a 30-year chart of the market. See all those dips? Those were crashes. They felt like the end of the world too—and the market kept going.
Thinking about using margin to “buy the dip harder”? Pause. Then read Margin Trading 101 so you know exactly what you’re getting into before Wall Street eats your lunch.
The 2025 Tariff Crash Sucks, But It’s Not Your Last One
If you’re an investor younger than 45, this won’t be your last market crash. But every crash is also a clearance sale on assets with long-term value. The people who win are the ones who stay in the game. And if you’re still convinced you can outsmart the system? I’ve been there, done that, and documented the chaos in You Can’t Beat the Market—But I Tried Anyway.
Take a breath. Don’t check your portfolio daily. Go touch grass. The market will recover—and so will you.
Note: The information provided is for educational purposes and should not be considered financial advice. Always consult with a financial professional before making investment decisions.
References:
NBC News. (2025, April 7). U.S. stock futures plunge ahead of Monday open as Trump tariffs shock continues. NBC News. https://www.nbcnews.com/business/business-news/us-stock-futures-plunge-ahead-monday-open-trump-tariffs-shock-continue-rcna199924
France 24. (2025, April 7). The worst market crashes since 1929. France 24. https://www.france24.com/en/live-news/20250407-the-worst-market-crashes-since-1929
