š WHAT IS THE BEAR TRAP š»
A bear trap in crypto is a deceptive market pattern where prices briefly dip below key support levels, luring traders into short positions. This sudden drop often triggers panic selling, but instead of continuing downward, the market swiftly rebounds, catching bears off guard and forcing them to cover at a loss.
Historically, such traps have preceded significant bull runs. For instance, in past cycles, bear traps were followed by rallies of 40x and 10x. In the current 2023ā2025 cycle, a similar pattern suggests a potential 3x to 6x rise by 2026, though returns may diminish over time.
To navigate bear traps, traders should combine technical analysis with market awareness, avoiding impulsive decisions during sudden downturns. Recognizing these patterns can help in capitalizing on the subsequent bullish momentum.
