Distribution Phase Confirmed

Definition ∞ “Distribution Phase Confirmed” refers to a market analysis observation indicating that a significant amount of an asset is being sold by larger holders to a broader base of smaller investors. This typically suggests a shift in ownership dynamics and can precede a period of price consolidation or decline. It implies that smart money or early investors are liquidating positions.
Context ∞ This phrase is a technical analysis term often appearing in cryptocurrency news to describe a potential shift in market sentiment from accumulation to selling pressure. Traders and analysts monitor this phase closely for signals regarding future price movements. Understanding this concept is important for interpreting market cycle reports and investment strategies within digital asset markets.