Discussing the Logic Reflected Behind the Plunge: Why is it so Difficult to Escape the Peak?
It is because every adjustment during a bull market will be followed by a surge, and every time someone thinks they have successfully timed a wave, they will continue to jump back in. This cycle repeats several times, and speculators become conditioned like Pavlov's dogs, remaining firmly bullish after each pullback, increasing their positions and their boldness.
Even when there is a primary downtrend and reasons for the decline, having already dropped 30% or even 50% from the top, those who frequently trade still harbor illusions of a bull market, thinking this time will be like the previous ones and will continue to reach new highs.
When the market enters a bear phase, every attempt to go long results in losses, and only then do they realize they are in a bear market, yet they still cling to their fantasies, but it is already too late.