🔥Hi friends! A lot of newbies consider these things as something bad. These make them very unhappy and disappointed because their position gets the loss. These things are the pullbacks or corrections after significant growth. Everyone is waiting for it now to buy more cheap crypto.
📊 The pullback is the price fall after significant growth. But why is it so good for price growth: 🔥 1. it makes the market (BTC as well) much healthier because it liquidates overleverage traders.
For example, -40% pullback liquidates all traders with 1.5x leverage and coll down the market (as it was in the 2016-2017 bull market).
🔥 2. it gives the opportunity to enter the long traders for the advanced traders. If we have 5-6 pullbacks every time after 100-150% growth, you can use already earned money in new trades (increase the risk per trade).
When the price doesn't make the pullbacks and you enter the trade at the very beginning of the bull market, you have no chance to exit the trade and use the margin from the profit to increase the risk per trade.
Of course, you can say that market was not as big as now and I agree with you. But the whole BTC capitalization is equal to 3.5% of the entire gold cap, so it's just the beginning for crypto.
In that bull market, the beginners can't even normally use their gaining margin to open new trades.
🔥 WHAT WILL HAPPEN IN THE NEXT BULL MARKET? I think that this growth will be the same as at the last bull market. Of course, it will be some surprises as at each bull market, but it will grow nonstop.
I make a huge update about this in the last idea. Check it if you want to know what to expect from BTC and the crypto market here👇
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