Post-dip accumulation describes the buying activity that occurs after a significant price decline in a digital asset. This behavior indicates that investors perceive the asset as undervalued following the drop, prompting them to acquire more at lower prices. It often signals a belief in the asset’s long-term potential and can precede a price recovery. Such accumulation can form a support level for the asset.
Context
Reports on post-dip accumulation frequently appear in market analyses following periods of volatility, suggesting potential market bottoms. Debates often concern whether the accumulation is sufficient to sustain a recovery or if further declines are likely. Observing this buying behavior provides insight into investor sentiment during market downturns.
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