The 4 Stages of a Bull Market: Understand Them to Make Big Money!

Those who have experienced several bull markets know that each bull market does not take off in one leap but follows its own rules and rhythms. If you can grasp these 4 stages, you can not only make money in a bull market but also avoid getting trapped at high positions. Next, let's break down the 4 stages of a bull market so you can navigate the market with ease!

Stage One: Quiet Bottoming, Market Sluggish

The starting point of a bull market is often during a time of extreme pessimism and bleakness in the market. At this stage, almost no one dares to enter the market, and everyone has lost faith in cryptocurrencies. Many coins have already fallen to rock bottom, mainstream coins are stagnant, and altcoins are virtually ignored. However, at this time, a quiet bottom is already being formed, and smart money has long been accumulating in the background.

Stage Two: Quiet Rise, Retail Investors Skeptical

When the market begins to show slight rebounds, most people are still in a stage of doubt. At this time, you will notice that news gradually increases, and discussions start to appear on social media, but everyone is still saying, "This is just a rebound, not a real bull market." However, smart money has already begun to position itself, and some seasoned investors are returning to the market.

Stage Three: Frenzied Surge, Full Explosion

This stage is the craziest period of the bull market, with news flooding in and various "financial freedom" stories circulating. Both mainstream coins and altcoins take off together, and the market is in a state of euphoria. Many newcomers rush into the market, various small coins skyrocket, and everyone is talking about the opportunities for wealth in the crypto space. At this point, the true bull market has fully erupted, and everyone is chasing prices and making trades.

Stage Four: Bull Market Peaks, Decline Begins

The final stage of the bull market is the decline that follows the peak. When market sentiment reaches its zenith, and even taxi drivers and market vendors are talking about Bitcoin, it signals the end of the bull market. Usually, the first to adjust are the mainstream coins, followed by a brief rebound in altcoins, which then quickly transitions to deep corrections. Panic spreads, previously surging coins are halved, and the market falls back into a cold winter.

The 4 stages of a bull market are like a large psychological game; those who can see through the market's rules will be the ones to laugh last in this game. Never let momentary greed trap you at high levels; learning to stay calm amid the frenzy is the key to truly making money in a bull market.