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Trading Cycle

Definition

A Trading Cycle refers to a complete sequence of market activity, typically characterized by distinct phases of price movement, volume changes, and investor sentiment. These cycles often include periods of accumulation, markup, distribution, and markdown, reflecting the ebb and flow of supply and demand. In digital asset markets, trading cycles can be influenced by technological developments, regulatory news, macroeconomic factors, and speculative behavior. Understanding these patterns is essential for participants seeking to identify market opportunities and manage risk.