This is a basic explanation for beginners, easy way to understand , because the market cycle is something more complex, it the different stages require a deeper analysis and explanation!!

Cycle phases

The financial market does not go up or down forever, during the market cycle we have bull market trend is mostly and bear market where the trend is mostly down, as in economic cycles in which we have recession and expansion.

Usually these cycles happen due to exhaustion, in the buying or selling force and where investors take the opportunity to collect profits or plant to harvest in the next cycle, cycles, especially bear cycles, can also be caused by a black swan, (events that are impossible to predict and that generate great reflections in society).

Divided into 4 phases

Acomulation

It happens in the transition period between the old cycle and the new cycle. This phase is usually the low period in the market, where many people are able to buy the asset at a price below average.

Bull Market

At this stage, the price of Bitcoins increases, which attracts new investors interested in the high gains they can obtain. Unlike new investors, some more experienced ones notice the euphoria around Crypto and start selling their Assents on Bull Market.

Distribution

Shortly after former investors start selling their Assets to incoming investors, the price of the coin stabilizes and the profit starts to be lower.

Bear market

Realizing the reduction in profits, investors start selling their coins, new investors who bought at the top without strategy and knowledge of the market at some point sell all their assets, even at a loss and come out saying that crypto is a bubble, the market is dead etc. This way, the Bitcoin market falls even further and the loss is big for those who got desperate and sold their coins in the downturn. Like everything in life, the bearmarket does not last forever!

Ducation of the crypto cycle

Due to the still very low liquidity of the crypto market and the halving event, the crypto market cycles have been exactly 4 years (+/-), it doesn't mean that it can't change but for now it's the times that everyone is watching

Are there patterns in Bitcoin cycles?

The answer is yes, all cycles have the same behavior, so anyone who studies minimally can be prepared to make money from any financial market, especially the crypto market that brings incredible returns.

How to prepare for Bitcoin cycles?

The best way to be prepared is:

- Investing in knowledge, the best investment anyone can make and that has incalculable value;

- Follow the market;

- Accumulate money through work to have cash to invest at the right time;

- Don't be afraid to take risks when investing;

- Don't bring in all the money at once.

-Have an investmente strategy.

Now that you know more about market cycles, what stage do you think we are in?