Bears vs. Bulls in Crypto: Market Players
The crypto world has many things in common with traditional financial stock exchanges. There are similar terms, rules and principles. And there are similar ways of behavior, as well, when people make bids and asks for crypto that, eventually, have an impact on rates. Bulls and Bears are the main players that HODL the market as it is.
The term “Bulls” is for sellers, investors other persons that take advantage of growth. They keep their hopes high on the forthcoming growth of cryptocurrency. When we see positive changes in the cryptocurrency rates, to-the-moons, and investors have a good feeling about the market, it becomes easy to go bullish and watch the crypto keeping growing.
In turn, “Bears” are referred as buyers, traders and other people who strive to buy crypto at low rates or believe that crypto market is heading down. They may feel panicky about the market and fear losing investments, so the Bear market is the situation when the number of sellers is more than the number of buyers. Bears and Bulls principles contradict each other making the process of buying/selling harder. Due to this fact, however, the market strikes the balance and often gets corrected after soaring up.
A bit of history
Let’s dig a little into the Wall-Street own mythology. This is the place where the stock market terms Bulls and Bears were adopted in the U.S. as a symbol of strength and toughness.
All began with… miners! Not crypto, but the miners of gold during the famous Gold Rush. Being tired after a hard working day and thirsty for diversion, the miners made fun of a common bloody sport — pitting Bulls and Bears together on a fighting arena. During the fight, Bulls usually attacked upwards with horns, whereas Bears’ claws slashed downwards and pressed to the ground. Luckily, such way of spending time became illegal but engraved the eternal confrontation between two powerful rivals on the market.
Recurrent short-term swinging from bull to bear market is a common thing in crypto. Winter of 2017 has shown a perfect bullish state of the market. The Bitcoin price has dramatically and unpredictably risen. Investors and sellers had quite optimistic outlooks so that even not tech-savvy people were encouraged to buy Bitcoin for USD. However, this trend couldn’t last forever, so Bitcoin price went down due to a market correction.
Interesting that for traditional finances, the correction may take several months or years. But in terms of crypto, this span is about just a few weeks, days or even hours, if some event takes place, e.g. with Syscoin.
Such high volatility is a good reason to invest in crypto for those who opt for a fast game.
Anyway, if you are looking for exchanging cryptocurrency at the best rates whether its bullish or bearish, you know the name of the service that will help you take the most out of it!