B
By Bethzy Published April 23, 2022

Bull

Bull indicates that the market is in an uptrend, meaning that the prices will follow an optimistic environment in the future. The term bull is thought to come from the belief that bulls lift everything with their horns from below.

Bull Market

The bull market, which we mostly encounter in stock markets and commodities such as gold, also appears in the forex market and in the cryptocurrency world.

For a bull market to start, technically it is expected to have risen 20% from the lowest level of the relevant market.

Stages of The Bull Market

Let’s see:

  • Collection: It is the stage in which the very cheap goods sold by the investors in loss begin to be collected by the big investors. There is no clear uptrend yet and there is still little interest in the market in general.
  • Buying wave: After the collecting phase, signs of improvement are now clearly noticeable in the market and small investors are now included in the buying wave.
  • Saturation: With the increase in volume, the market has reached a certain saturation and the buyer in the market has decreased considerably. This indicates the end of the bull market. Then, the start of a sharp downward wave can be expected.

Learn more about bull market conditions.

Bull in Cryptocurrency

A bull market is defined as a period in which the majority of investors make purchases, market confidence is high, and prices are rising. If you see prices trending upwards rapidly in a particular market, this is a sign that the majority of investors are optimistic that the price will go up further.

Investors who believe that prices will increase over time are referred to as “bulls”. As investor confidence grows, the cycle tends to attract more investment and prices continue to rise. Investors may try to increase the optimism in the market as the price of each cryptocurrency is affected by the confidence people have in this asset.

See Also: Bull Trap in Cryptocurrency Market

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