When you invest in cryptocurrency, you are speculating on the price of a currency. Of course, everyone wants their cryptocurrency to increase in value over time. There are quite a few risks involved in investing in cryptocurrency, but if you read it, do proper research, and invest in the right coins, you will be fine. If you expect the price of a currency to rise in the future, you are probably not alone. If there is confidence among a large group of investors and the prices actually go up, then you speak of a bull market (bull market / bull market).
In a bull market there is a lot of confidence in the market When a large group of investors buys cryptocurrency en masse and expect the price to rise, that certainly stands out. The great confidence that investors have in the currency can therefore lead to an increase in the price, because where there is a lot of demand, the price will also rise.
The term for great confidence among investors is a bull market or bull market in Dutch. The market is likened to a bull because a bull raises its horns to attack prey. The counterpart of a bull market is a bear market. A bear catches its prey by striking it with its claw. A bear market thus also represents a price that is falling. The largest group of investors in a bull market is also referred to as a herd. This herd of investors often doesn't come in until late when most of the profit has already been made. You can compare this to the people who bought Bitcoin in 2017 when the price was $ 20,000.
What is a bull run?
A bull run can only take place during a bull market. A bull run is a long period of rising prices and market optimism. Most investors are eagerly looking forward to a (new) bull run. When investors talk positively about Bitcoin or other cryptocurrency, they would also be bullish. What are the characteristics of a bull market?
Prices have been rising for quite some time There is a lot of confidence in the market Some projects are too expensive Prices are soaring on good news Prices hardly fall due to bad news The mainstream media is talking about cryptocurrency People who previously weren't interested in cryptocurrency will read it