Investor Jitters

Definition ∞ Investor jitters describe a state of heightened anxiety or uncertainty among participants in financial markets, particularly in the digital asset sector. This sentiment often leads to increased caution, reduced trading activity, or a tendency to sell holdings. It is typically triggered by adverse news, regulatory concerns, or significant market volatility.
Context ∞ Reports on investor jitters are common during periods of cryptocurrency price instability, regulatory crackdowns, or global economic uncertainty. This sentiment can cause rapid market downturns and influence asset liquidity, affecting both individual and institutional holders. Understanding these psychological market factors is crucial for interpreting short-term price movements and broader market trends.