Nasdaq’s Historical Pattern Suggests Major Market Move by 2026
The Nasdaq Composite, having entered its seventh bull market since 1990, signals potential for significant gains in the coming years. The index, heavily weighted toward technology (64%) and consumer discretionary (17%) sectors, bottomed out on April 8 after a 24% decline from its December 2024 peak. This rebound aligns with historical trends where similar recoveries preceded substantial rallies.
Market analysts note that while past performance doesn't guarantee future results, the pattern of bull markets following sharp declines has consistently delivered outsized returns. The current cycle mirrors setups that produced double-digit annual gains in previous recoveries, with 2026 emerging as a focal point for potential upside.