Determination of Taurus and Bear markets – graying daily

The encryption prices do not move in a straight line – they are going through courses of climbing and landing, known as the name Market courses. Sometimes, prices rise, optimism is high, and everyone appears to be investing. At other times, prices decrease, fear, and many sell confused. These stages are called Taurus and bear markets.

Understanding these courses is important for investors because it helps them make more intelligent decisions. Instead of buying when the prices are high from excitement or sale when they leak from fear, knowing how the market trends can help avoid costly errors.

In this article, we will collapse:

• What are the market courses and how they work.
• How to define bull markets, bear and its main signs.
• What drives the trends of the encryption market and what affects prices.
• Strategies to move in different market conditions and invest with wisely.

By the end, you will have a clearer picture about how the encryption markets move and how to make better investment decisions.

What are the market courses?

A Market cycle It is the natural style of ascending and falling into asset prices over time. Just like changing seasons, financial markets – including encryption – pass through repeated stages of growth and decline.

The four stages of the market cycle

The markets usually move through these stages:

1. accumulation After a significant decrease, prices are stabilized as early investors and starting smart money in purchase again.
2. Expansion (Taurus Market) – Optimism revenues, increased demand, and prices have risen with the transfer of more investors.
3. Clubs and distribution Prices reach a high point, noise at its peak, and experienced investors begin to sell.
4. Decrease (bear market) Prices decreased with the spread of fear, and many investors sell, which leads to accumulation.

Cross market courses for stocks

Traditional stock markets also follow these courses, but encryption moves Much faster and more exciting Because of the high fluctuations and emotional circulation. While securities market courses may take years, encryption cycles are often operated in months.

By realizing these patterns, investors can make better decisions – avoid selling panic in retreat and discovery opportunities during the recovery stages.

Taurus market: What does it mean and major signs

A Taurus Market It is the period when the prices of cryptocurrencies rise, the investor’s trust is high, and the demand exceeds the supply. This stage is often fed with optimism, increased adoption, and the flow of new investors looking to profit.

Taurus market characteristics

• High prices – Increasing the assets of encryption in value during a long period.
• Strong investor confidence – Buy more people, believing that prices will continue to rise.
• Increase adoption The main companies, institutions and users begin to embrace encryption.
• Media noise – News means and social media on the success of Crypto, and attract more attention.

Common indicators for the bull market

• Top trading volume – More people buy and sell.
• Bitcoin and Ethereum lead the market When this higher encryption collects, others usually follow it.
• Institutional investment Large companies and hedge funds begin to invest significantly.
• Fear of loss (FOMO) – More retail investors jump, pushing prices up.

Examples of the previous encrypted bull markets

• 2017 Paul Ran Bitcoin rose to approximately $ 20,000, driven by the attention of the noise in the ICO (first currency width).
• 2020-2021 Taurus Market Bitcoin is the highest level ever at $ 69,000, supported by institutional adoption, Defi growth (decentralized financing), and NFT mania.

The markets create the excitement and great opportunities, but it does not last forever. After that, we will explore the bear market and what signs should be monitored when the prices begin to decline.

Bear market: What does it mean and major signs

A Bear market It is when the prices of cryptocurrencies decrease for a long time, the investor’s confidence decreases, and the fear takes over. This stage often follows a market for wear when prices reach the highest sustainable and begin to decrease.

The properties of the bear market

• Low prices – The encryption assets lose the value steadily.
• Fear and uncertainty Investors become pessimistic, and many sell confused.
• Low trading volume Less number of people buy, and market activity slows down.
• Bad news and negative feelings The titles focus on accidents, fraud, or organizational repression.

Common indicators of the bear market

• Low prolonged price – Bitcoin and main decrease significantly (often 20 % or more than their highest levels).
• Collective boxes Excessive merchants are eliminated, which increases low prices.
• Exit from retail investors Many investors who lack experience in a state of panic or leave the market.
• A decrease in the institutional interest Big investors retreat, waiting for better conditions.

Examples of previous encrypted bear markets

• 2018 winter encryption – After the 2017 bull race, Bitcoin collapsed from $ 20,000 to about $ 3,000, and many Altcoins lost more than 90 % of its value.
• 2022 Bear market Bitcoin decreases from $ 69,000 to less than $ 20,000, resulting from economic contraction, prominent collapses (such as Terra and FTX), and high interest rates.

Bear markets can be difficult, but they also create opportunities for the patient’s investors. After that, we will explore what drives these courses and why the encryption markets move the way you work.

What drives the encryption market courses?

The encryption market courses do not occur randomly – they are affected by many main factors that drive prices up and down. Understanding these factors can help investors make more intelligent decisions.

View and demand

Like any market, encryption prices are affected by the number of people who buy (demand) against the number of metal currencies available (supply). When more people want to buy more than selling, prices rise (the bull market). When he sells more people from buying, prices decrease (the bear market).

Great events and news

Big events can lead to market movements:

• Systems – Government policies can enhance confidence (positive news) or create fear (negative news).
• Vaccines and scandals Security breasts or the failure of exchange can get rid of investor confidence.
• Institutional investment When large companies or boxes invest in encryption, they often raise prices.

Half Bitcoin events

Bitcoin It has a built -in mechanism that reduces the number of new coins that enter blood circulation every four years. This is called a Half eventIt historically leads to bull markets because it reduces supply while demand remains the same or increases. All halvings (2012, 2016, 2020) are all followed.

Market morale and psychology

Emotions play a big role in encryption courses:

• Fear and greed – Investors buy and sell the prices (greed) and sell them when (fear) decreases, and they often make irrational decisions.
• Fomo (Fear of Lost) In the bull markets, people rush, and pay prices up.
• Panic In the bear markets, fear of selling people causes a loss, and raises low prices.

By understanding these factors, investors can identify market trends and avoid emotional reactions. Next, we will explore how to determine the main market indicators and trends.

Determining market trends and main indicators

Understanding market trends helps investors make informed decisions instead of emotional response. There are three main ways to analyze encryption courses: Technical analysis, On the series Measurements and external factors.

Technical Analysis: Study Price Persons

Traders use plans and indicators to discover trends. Some main tools include:

• Movie Mediterranean (MA) – The average price over time is explained to determine the upward (ups) or descent (decline) trends.
• Relative power index (RSI) – Takes if the cryptocurrency may overlook the peak (the price may decrease soon) or excessive sale (the price may rise soon).
• Market size – The volume of high trading during prices increases the signals of strong momentum; Low volume can indicate weakness.

Series standards: Blockchain data

Since encryption transactions in general, data on the series helps analyze market activity:

• Whale Large transactions by big investors (whales) can affect price movements.
• Exchange of external flows/flows -More encryption indicates the stock exchanges to sell pressure, while external flows indicate a long -term contract.
• Active addresses The increase in unique addresses can indicate increased adoption and demand.

News and macroeconomic factors

External events also affect encryption prices:

• Government regulations and policies Laws can either encourage adoption or create uncertainty.
• Global economy Inflation, interest rates and financial crises affect the investor confidence in encryption.
• Adoption and partnerships When major companies merge encryption projects or launch Blockchain projects, they can pay excitement in the market.

Strategies to move in the bull and bear markets

The markets rise and decrease, but smart strategies help investors stay in the foreground.

Taurus market advice:

• Take profits Selling some gains before the market turns.
• Avoid fomo – Don’t just buy because the prices rise.
• Stay careful – Research projects before investing.

The market survival:

• Holding strong assets Quality currencies are better recovered.
• Use DCA Investing small sums over time.
• Stay patient Bear markets do not last forever.

The main rules of success:

• diversification – The spread of investments to reduce risks.
• Control of feelings Avoid selling panic and buying rush.
• Think in the long term – Repeating encryption courses – focused.

Conclusion: Transfer of encryption market courses

The encryption markets move in courses, with Taurus markets Bring excitement and Market Patience test. Understanding these patterns helps investors make better decisions.

Main meals:

• Market courses Repeat over time, affected by supply and demand, major events, and investor morale.
• Taurus markets Submit opportunities, but take profits and avoid noise is the key.
• Market It can be difficult, but patience and smart investment strategies help the storm.
• Diversification and research Reducing risks and improving long -term success.

Stay in view and long -term thinking is the best way to succeed in encryption. Instead of emotional response, focus on knowledge, strategy and patience. The market will always be up and down – what matters to how to move it.

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Michaela has no encryption situations and does not carry any encryption assets. This article is provided for media purposes only and should not be explained as a financial advice. SHIB and Shib Daily are the media and official publications of the Shiba Inu Cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.

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