The cycle of bull and bear markets
Many people think that the bull market cycle is shorter and the bear market cycle is longer. In fact, the length of the bull and bear cycles is equal. The reason why some people say that the bull market is short and the bear market is long is that there are different stages within the bull market, and the performance of each stage is different. The following are the four main stages of the bull market:
Bull market accumulation:
This stage is mainly the accumulation period of the market, which may take a very long time, sometimes even up to two years. In this stage, the price fluctuation is small and the market sentiment is relatively stable.
Bull market start:
In this stage, the market begins to be active, and the price will rise rapidly from the sideways range, and will not fall back to the original position in the subsequent multiple callbacks. This is the start-up stage of the bull market.
Bull market violent pull-up:
This is the main rising wave stage of the bull market, and the price rises sharply in a short period of time, usually lasting 2-3 months. Compared with the entire bull-bear conversion cycle, this stage seems very short. This is why many people think that the bull market is short.
Bull market tail collapse:
In the last stage of the bull market, the market performance is extremely crazy and volatile, and sharp drops and surges occur frequently. Altcoins performed particularly well in this stage and became the trendsetters of the market. This stage is also regarded by some as part of the bull market, so there is also a saying that "the bull market is short".
Current situation analysis
At present, we are in the stage between the beginning and middle of the bull market. For investors holding spot, patience is the key. Future market fluctuations may bring more opportunities, so we should respond calmly and plan investment strategies reasonably.
In summary, the cycle length of the bull market and the bear market is equal, but the different performances of the internal stages of the bull market make people feel that it is shorter. Understanding these four stages will help us better grasp market opportunities and make wise investment decisions.
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