The Nasdaq Composite fell about 78% from its 2000 peak to its 2002 low.
The index closed at 5,048.62 on March 10, 2000, during the dot-com bubble. By October 2002, it had fallen to roughly 1,114, producing a decline of approximately 78%. This made the dot-com crash one of the most severe collapses in a major U.S. technology index.
The sell-off reflected a reassessment of internet businesses. Investors had paid high prices for companies with limited sales, uncertain business plans and large losses. As financing became harder to obtain, many firms shut down or declared bankruptcy.
The figure describes the fall from the closing peak to the later trough, not a single day’s movement. It also applies to the Nasdaq Composite, which contains many technology and growth companies; it does not describe the exact performance of every stock or every U.S. index.