Bear Market Signals

Definition ∞ Bear market signals are indicators suggesting a sustained decline in asset prices across a market. These signals can include persistent downward price trends, decreasing trading volume, and negative market sentiment. Technical analysis often identifies specific chart patterns or moving average crossovers as such indicators. Fundamental factors like economic contraction or regulatory pressure also contribute to these assessments.
Context ∞ For digital assets, identifying bear market signals is critical for investors and analysts to anticipate prolonged downturns. News frequently highlights these indicators, such as significant liquidations, decreasing on-chain activity, or adverse macroeconomic conditions. Understanding these signals aids in risk management and strategic positioning within the volatile cryptocurrency markets.