Bearish Trend

Definition ∞ A bearish trend signifies a prolonged period during which asset prices consistently decline in a financial market. This market condition indicates a prevailing sentiment among investors that prices will continue to fall. It is characterized by lower highs and lower lows on price charts. Such a trend often signals economic uncertainty or a decrease in investor confidence.
Context ∞ In cryptocurrency markets, a bearish trend means that digital asset values, such as Bitcoin or Ethereum, are experiencing a sustained downturn. News reports often analyze trading volumes, macroeconomic factors, and regulatory announcements to explain or predict these downward movements. Understanding bearish market cycles is essential for participants in digital asset trading and portfolio management, as it influences investment decisions and risk assessment.