Seeing the rising numbers of newbies or even the old ones who don't know what are these bulls and bears term in crypto space, or specifically in trading, I decided to explain this one time big time. If you are in crypto you need to learn or at least know who are these animals, so you will know how to handle your hold coins.

All crypto coins have these bulls and bears, that drive the market and will reflect on every coin's price. It's important to identify these two as they are an indication of where will be the market trend heading.

I posted at the noise that the bulls are now warming up before it finally runs.

Then a reply caught my attention that there are still a lot of newbies and old ones that don't know much about terms in the crypto space.

Asking “Who are those bulls? Why they are appearing just now?” the second question was her another reply.

Who are these bulls 🐂?

Image Source: amp.usatoday.com

The bulls are the term used for BUYERS; for example, you keep buying BCH right now you are one of the bulls.

Why bull? Why not other animals like dogs?

Well, the dog is a pet, and it has a lot of Shitcoins like Doge, Shiba Inu, Baby Doge, etc. On a serious note, it was chosen to be the term used for buyers because of its characteristics bull

• Bull attack their prey using their horns from the bottom and smashed them going in the top direction. Just imagine how the bull behaves during a bullfight.

Image Source: Cropped photo from Quora.com

• This means that the buyers buy at the bottom, when massive buyers come into the market the price value of the coins increases due to law of supply and demand.

Why it is called a bull market?

Image Source: steemit.com

The bull market describes the longer period of price growth. This bull market is drive by optimism that results in a price increase. It has several factors in how the bull market happens;

• Massive buyers come into the market, the price will increase due to the demands that will result to supply depreciation.

• FOMO kicks in, it stands for FEAR OF MISSING OUT. When the market starts to go up like 20% up, some investors will be FOMO. They'll immediately jump off the cliff lol, I mean jump off the market and keep BUY! BUY! BUY!

• Positive news about crypto, when there is positive news that will circulate in the crypto universe some investors will start buying assets.

Used terms for a bull market

• Bullish - this means buyers are positive that the market will go up, they are bullish.

• Bull trend- this refers to an uptrend movement of the market.

• Bull trap- this term is used when buyers are being trapped thinking the coin will have a massive pump but ending it goes down after a short-term pump. They were trapped by the bears 🐻 omooo!

• Bull run- this is when the market continues to go up, more and more buyers are coming into the market. Bulls are running upward 📈.

Who are these Bears 🐻?

Image Source: Screenshot from nairametrics.com

Bears are the term used for SELLERS; for example, you keep selling your BCH then you are one of the bears.

Why Bear? Why not other animals like bunny 🐇 ?

Bunny is cute, and usually, it is used as a mascot in DeFi platforms such as Pancakeswap their logo is a cute pancake bunny. On the other hand, the bear was chosen to represent sellers because of its characteristics.

• Bears use their hands to attack their prey from upward to a downward direction. Just imagine how bears attack other animals. It raises its hand from upward and smashed its enemies downward.

Image Source: Cropped photo from Quora.com

• This means that the sellers mostly sell their assets once they already gained profit (TP - take profit). Whales are influencing the market once they started selling the small investors follow. That's where the massive selling happens and it will turn the market bearish.

Why it is called a bear market?

Image Source: in.pinterest.com

A bear market is the exact opposite of a bull market. It's when the value of Bitcoin and other cryptos is decreasing for a longer period. This bear market was drive by pessimism and it also has some factors that trigger it;

• Massive sellers come into the market and keep selling their assets. When massive selling of coins happens it will result in a price decrease as the demand is decreasing.

• FUD comes in, it stands for Fear Uncertainty and Doubt. When the market starting to go negative or their hold asset goes -20% and up they'll start panicking that will result in panic selling. More sellers come in and keep SELL! SELL! SELL! button.

• A lot of negative news about cryptocurrencies, just for example the last strong FUD news that we experience last time was the Bitcoin Mining crackdown in China and its crypto ban. That drives the market crash badly.

Used terms in a bear market

Bearish - this means that the sellers are positive that the market will go down.

Bear trend- this refers to the downward movement of the market, or to be precise it's a downtrend.

Bear trap- this is when sellers start to open a short position on leverage trading thinking the bulls are already exhausted but got rekt when the pump continues. They are trapped by the bulls 🐂, scary! Or even those spot traders when they sold their asset thinking the pump will not sustain.

Bear run- this is when more and more sellers coming into the market and the movement of the market is going downward 📉, that's bears running wild.

Common terms addedy that is used in Trading;

FOMO- fear of missing out is when investors buy at a high price because they wanted to ride the bull run and fears on missing out some profits.

FUD- fear, uncertainty, and doubt are when investors keep selling at a loss because they feared that the market will go deeper (dip) that will cause more loss and they'll just want to save something that was left even if they are losing a portion of their investment.

ATH- this refers to All Time High The highest price that an asset reached.

BE- stands for break-even, it's when you sell your asset the same at your buying price which means you didn't lose but didn't gain profit as well.

Rekt- it's when an investors lose huge amount of its profit and a large portion of their capital.

TA- stands for technical analysis it's when a technical analyst read the chart based on the indicators shown in the chart and used it to predict the next price movements.

FA- Fundamental Analysis, when traders based on fundamentals of an asset before they buy and sell.

TAYOR- Trade at your own risk, it's when a certain technical analyst shares their technical analysis but does not assure you that it will work out 100% and they are not held liable for your actions taken.

DYOR- Do your own research, when a certain someone shares their insights about financial investment but urges you to research more and they don't held liable with your actions, they'll advise DYOR friend!

HYPE- this is when those coin supporters keep hyping the coin in social medias, for example DOGECOIN. This means a certain coin pumps hard after being hyped in the social medias. Don't jump with hype if you are a newbie to avoid being rekt invest to coins that has good fundamentals.

PUPM- when a certain coin surges up massively

DUMP- when a coin goes down big time.

Pump&Dump Mechanism- when a coin is easily manipulated by whales they can pump it to attract retail investors then dump when they already have huge profit.

If you want to read more then read @Jane article that is also related in this article.

The Bull and The Bear Markets: How To Take Advantage Of Them?

Closing Thoughts

If I missed something and you want me to add it so you will learn more just ping me in the comment section, I'll add it because sometimes I forgot some important things lol.

I hope you learn something and you understand who are these fvcking bulls and bears!

Thank you for reading!

Note: I wrote this with all my learnings, I didn't have source while writing this. If you find errors you can correct me.

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Date Published: August 13, 2021