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Bear Cycle

Definition

A Bear Cycle describes a prolonged period in financial markets, including cryptocurrency, characterized by declining asset prices and investor pessimism. During this phase, market participants generally anticipate further price drops, leading to widespread selling pressure and reduced trading activity. It represents a significant downturn from previous highs, often marked by lower highs and lower lows in price charts. This market condition can persist for months or even years, influencing investment strategies and market sentiment across the digital asset sector.