Bull Market

A Bull Market describes a market where increasing prices are the trend.

Prices increase for a prolonged period and investors and traders believe that prices will continue to do the same.

Trader confidence is high.

In traditional finance, an increase of 20% or more after multiple declines of 20% or more defines a bull market.

Bull markets can last months and years.

In cryptocurrency trading, bull markets are usually an order of magnitude larger than in traditional markets.

They still exhibit the same characteristics of positive trader sentiment, strong demand, price spikes when good news comes out, strong economic conditions, and overall optimism in the markets.

Because of the generally young age of the crypto market, bull markets in crypto can take shape because of influence from social media and pop culture icons, increased adoption by institutions and traditional financial firms like Morgan Stanley or JP Morgen, or due to regulatory barriers falling.

Related Terms

Bull

A bull is a trader or investor that believes the price of an asset or market will increase for a prolonged period of time

Know Your Customer (KYC)

Regulations imposed by governments and regulatory agencies on financial institutions and services providers that require them to identify and verify their customer’s identities. The purpose of requiring KYC information primarily revolves around complying with anti-money-laundering programs that have been required by banks and other traditional finance companies and institutions for years.

Bear Market

A Bear Market describes a cryptocurrency market where declining prices are the trend. Prices decline for a prolonged period and investors and traders believe that prices will continue to do the same. Trader confidence is low in that prices will maintain or increase.

Charles Hoskinson

Charles Hoskinson is a technology entrepreneur and mathematician famous for co-founding Cardano, Ethereum, and Input Output Global, Inc. (formerly IOHK). Cardano was developed by IOHK and Hoskinson.

Pseudonymity

In blockchain security, the pseudonymous nature of certain blockchains keeps a network user’s identity hidden from other network users while still linking all of the transactions made by that person to a pseudonymous identity that CAN be tracked by almost anyone.