Bull Market Psychological Game: Unraveling the Rules, Winning the Market!
Retail investors know that a bull market is by no means a shortcut to sudden wealth; its evolution follows specific rules. By grasping the four phases of a bull market, one can profit with the trend and avoid significant losses. Let us analyze these four phases together to help you rise to the top of the market!
1. Market Slump, Prices Testing the Bottom Before the bull market starts, the market feels like a harsh winter, with gloomy prospects for cryptocurrencies, and pessimistic voices are incessant. Prices continue to dip, and both mainstream coins and altcoins face neglect. However, amidst this desolation, a few discerning individuals have quietly positioned themselves, preparing to buy at low levels. This is the moment when the bull market begins, and only those with keen insight can seize the opportunity.
2. Initial Price Rise, Watchful Waiting The market gradually shows signs of life, with prices rising slightly, and related news appearing in reports, while discussions on social media heat up. However, most people remain cautious, convinced that this is a temporary rebound rather than the onset of a bull market. In reality, at this moment, smart money and seasoned players have decisively entered the market; if you want to seize the opportunity, you must keep pace with this rhythm.
3. Price Soars, Nationwide Frenzy At this moment, the market falls into madness. Prices soar like a rocket, and tales of financial freedom circulate everywhere. Mainstream coins and altcoins rise together, and newcomers are lured in, creating a festive atmosphere in the market. However, one must be vigilant; this is also the peak of risk, and it is imperative to remain calm and not let greed cloud judgment.
4. Prices Peak, Plummeting Imminent The bull market reaches its zenith and then declines. When Bitcoin becomes a hot topic of conversation on the streets, and even the elderly are eager to try their hand, danger has quietly approached. After prices peak, a sharp drop follows. Mainstream coins are the first to dive, and altcoins, after a brief recovery, also decline. Panic spreads rapidly, and the wealth myth shatters instantly. At this point, actions must be decisive; one must not get trapped at high levels. The four phases of a bull market are, in essence, a psychological contest. Only those who understand market rules can become the ultimate winners. Do not fall into the mire due to greed; by maintaining rationality amidst the clamor, you can reap true gains in a bull market.