#MarketPullback

A financial term that means a temporary decline in prices in a financial market (such as the stock market or crypto market). This decline usually occurs when there has been a prolonged increase in the market, and investors or traders want to take profits or avoid risk for some reason. A pullback can also be understood as a bearish trend, where prices drop for a while, but this does not change the long-term bullish or consistent increase of the market.

Difference between a pullback and a market crash:

A pullback generally indicates a price decline of 5% to 10%, which is a temporary trend.

A market crash involves a sharp decline in prices, which can be 20% or more, and it takes time for the market to recover afterward.

Generally, during this time, investors reinvest by buying back into the market.

This provides an opportunity for investors when prices drop with the expectation of rising again.

If the crypto market has been consistently increasing and then one day the prices of some cryptocurrencies drop by 5% to 10%, it will be called a pullback. However, if the market starts to rise again afterward, it is considered a healthy market correction.