It's all down to what you like or your body can tolerate.
I'd say it's a reasonably "racy" position, but not extreme. There's a pretty big difference in feel between 2.5 and 3 inches, by the way.
The old rule of thumb used to be that your bars should be more or less level with your seat, so by that rule, even 2.5 inches of drop is a lot. These days, the popular custom seems to be running more toward race-inspired setups, which means more drop. By that measure, you're probably looking pretty average.
I rode for a while with 11 cm of drop (which is closer to 4.25 inches), and that WAS extreme for me (quite a few pros have extreme drop like this), and though I could ride quite a while like that I wasn't particularly comfortable.
Now, I'm more like 5 cm of drop (2 inches or so), which is more old-school I suppose, and I'm much much more comfortable (but feeling a lot more wind resistance against my now more-upright upper body, which is the main trade-off).
A forum community dedicated to Road Bike owners and enthusiasts. Come join the discussion about bike parts, components, deals, performance, modifications, classifieds, troubleshooting, maintenance, and more!