" DEAD CAT BOUNCE "
A common term used among cryptocurrency and stock market traders ..
Let me explain its meaning ..
The metaphorical meaning is " even a dead cat, if you throw it from a high place, will bounce a little before it falls again " ..
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๐ต What is Dead Cat Bounce?
It is a term that refers to a temporary increase in the price of a currency or financial asset during a general downward trend.
That is, after the price drops sharply, there is a small upward bounce โ but it's temporary โ before the price falls again.
This rise is not a true reversal, but rather a trap for traders to re-enter the market before a further decline ..