Bull Run – Crypto Glossary Definition:
A bull run, also referred to as a bull trend, denotes a prolonged period within the financial market characterized by a consistent and substantial increase in the prices of specific assets. This upward price movement is primarily driven by various market factors, including heightened volatility, increased demand, and favorable market valuation.
Bull Run in the World of Cryptocurrencies: In the realm of cryptocurrencies, a bull run signifies a sustained rise in the values of digital assets throughout a market cycle. It marks a phase when investors exhibit significant interest in a particular cryptocurrency, resulting in a surge in demand for that asset. Ultimately, the demand for the aforementioned digital asset surpasses its supply, reflecting a prevailing optimistic sentiment among cryptocurrency investors.
The duration of a bull run can vary, ranging from several months to years, but it must endure for an extended period to be classified as a genuine bull run. A market experiencing a bull run is termed a bull market, contrasting with a bear market, where asset prices tend to decline over an extended timeframe.
Causes of a Bull Run in the Crypto Market: Several factors can trigger a bull run, with investor optimism and confidence playing a prominent role in driving prices higher over an extended period. Notably, one common catalyst for bull runs in the cryptocurrency markets is Bitcoin halving events, which reduce the rate of new Bitcoin issuance.