The simplest and most effective standard is: in a bull market, there are more bullish days than bearish ones, while in a bear market, there are more bearish days than bullish ones.
When it rises, it's decisive, and when it falls, it's hesitant; that's mostly a bear market. Conversely, if it drops and is quickly bought back, rising in segments, that's a typical bull market rhythm.
It's more intuitive when viewed in the context of the market.
In a bull market, the declines are mostly profit-taking by bulls or normal technical pullbacks. Essentially, it's not that no one is buying, but that buyers are waiting for the right position. You will find that when bad news comes out, the price might surprise you, but the drop is often limited, and someone quickly takes the chips. At such times, the pullback itself is part of the market, and if you hesitate too long, the price may not give you the opportunity to get in.
However, the rebounds in a bear market are completely different in nature. On the surface, they seem fierce, but in reality, liquidity is being squeezed out in the short term, or shorts are concentrated in covering. The speed of price increase is fast and the amplitude is large, but the sustainability is extremely poor. Once buying pressure cannot keep up, it will be smashed back the same way. The biggest trap in a bear market is mistaking a rebound for a reversal, resulting in being educated as soon as you enter the market.
So determining bull and bear markets is never about how much it has risen, but whether there is support when it falls and whether it can continue to rise.
If bad news continues but the price doesn't drop, and more people buy as it falls, it indicates that the bullish structure is still present;
If there are many positive news but the rebound doesn't go far, and it keeps opening high and falling low, then one should maintain respect for the market.
Back to the current market situation, is it a bull market or a bear market?
The answer is not in opinions, nor in emotions, but in the 'strength and rhythm' of each decline and rebound. Understanding this, many noises will naturally disappear.#加密市场观察 $BNB
