#CryptoMarketDip A **crypto market dip** refers to a significant decline in the prices of cryptocurrencies over a short period[43dcd9a7-70db-4a1f-b0ae-981daa162054](https://kauri.finance/academy/what-is-crypto-market-dip?citationMarker=43dcd9a7-70db-4a1f-b0ae-981daa162054 "1"). This can happen due to various factors such as market sentiment, regulatory news, macroeconomic events, or large-scale sell-offs[43dcd9a7-70db-4a1f-b0ae-981daa162054](https://kauri.finance/academy/what-is-crypto-market-dip?citationMarker=43dcd9a7-70db-4a1f-b0ae-981daa162054 "1").

Here are some key points about crypto market dips:

1. **Definition**: A dip is typically defined as a **10% or more drop in price within 24 hours**, often accompanied by increased trading volume and bearish sentiment[43dcd9a7-70db-4a1f-b0ae-981daa162054](https://kauri.finance/academy/what-is-crypto-market-dip?citationMarker=43dcd9a7-70db-4a1f-b0ae-981daa162054 "1").

2. **Buying the Dip**: Some investors see dips as opportunities to buy assets at a lower price, hoping for future gains when the market recovers[43dcd9a7-70db-4a1f-b0ae-981daa162054](https://coinmarketcap.com/academy/glossary/dip?citationMarker=43dcd9a7-70db-4a1f-b0ae-981daa162054 "2").

3. **Market Sentiment**: Dips can be driven by negative news or events that shake investor confidence, leading to a sell-off.

4. **Volatility**: The cryptocurrency market is known for its high volatility, so dips can happen frequently and sometimes unpredictably.