Market Correction Fuel

Definition ∞ Market correction fuel refers to the underlying factors or conditions that contribute to an impending or ongoing downward price adjustment in financial markets, including cryptocurrencies. These factors might include overextended valuations, macroeconomic shifts, regulatory uncertainties, or significant selling pressure from large holders. It indicates elements that could trigger a price decline.
Context ∞ The concept of market correction fuel is frequently discussed in crypto news as analysts attempt to predict and explain price downturns. Debates often revolve around identifying which specific indicators are most predictive of a correction. Monitoring these contributing factors helps investors and traders anticipate potential market shifts and adjust their strategies accordingly.