Support

Definition ∞ Support, in financial market analysis, signifies a price level at which an asset has historically found buying interest, preventing further price declines. This level acts as a floor for price movement. Analysts observe support levels to gauge potential buying opportunities and predict price stabilization.
Context ∞ Discussions in cryptocurrency news often involve the identification and analysis of support levels for various digital assets, indicating potential price floors. Traders closely watch these levels for signs of buying activity that could halt a downtrend or initiate a price recovery. The strength and psychological importance of support levels play a crucial role in market sentiment and trading decisions.