#FOMCMeeting In the cryptocurrency market, a common question arises: is the price movement we see a trend reversal or merely a short-term correction within the current trend? The correct interpretation of this influences the trading decisions of market participants.

A correction is defined as a medium-term price movement against the main trend. The goal of a correction is to partially "reset" the overbought or oversold conditions of the market, after which the main trend continues. Corrections last from several days to 2-3 weeks and do not change the overall market direction.

On the other hand, a trend reversal is a long-term phenomenon where the direction of price movement fundamentally changes to the opposite. If the market was rising before, it is now falling. And vice versa. When a trend reversal occurs in the market, it signifies that the market direction is changing for an extended period.

To distinguish between a correction and a trend change, analysts use various tools - volumes, volatility, and graphical analysis. The key is not to rush to conclusions but to gather enough data to understand whether we are facing a temporary pullback or something more significant.