These are recurring terms in the crypto-sphere, and they are enough to confuse the less informed. Between the whalesthem shrimpsthem bulls and the bearshere is a little reminder to understand the lexicon of cryptocurrencies and not get lost in this menagerie.
Bitcoin broke the support of 20,000 euros during this scorching weekend: so, bearish Where bullish ? No doubt, the first half of 2022 has clearly been bearish for crypto-assets. You don’t understand anything about it? Let us clear up a few lexical points.
The whalesmajestic creatures of the crypto ocean
To put it simply, a whale (“whale” in English) is a person or a small group that owns many bitcoins. The term originated with digital currency. The most famous of the digital cetaceans is Satoshi Nakamoto, the mysterious creator of Bitcoin, who owns over a million BTC that he himself mined in the late 2000s.
Amongst others whales well known, there are the Winklevoss twins, two entrepreneurs who share a digital fortune amassed for more than ten years. Binance, the most famous crypto platform in the industry, is also considered a whale with hundreds of thousands of bitcoins stored in its reserves to ensure its liquidity.
The problem with crypto whales, the site explains hark-fork, is that owning so much bitcoin makes you a central player with the ability to influence the market, which is contrary to the concept of decentralization advocated by cryptocurrency enthusiasts. We have seen proof of this lately, when the whales are selling their BTC en masse, which has had a big impact on the market.
Conversely, you are considered a shrimp (“shrimp”) if you own less than one BTC.
bear market and bull market : statistical animals
Crypto news is a lot like a zoo, and these are the bears (“bears”) who seem to lead the dance. Borrowed from the traditional stock market lexicon, the term bear market refers to a market where traders are more likely to sell their assets than buy them. This is obviously the case lately when the entire crypto-sphere has suffered the combined damage of the collapse of the TERRA ecosystem and an unprecedented liquidity crisis.
We designate a market as bearish when stocks fall systematically. Conversely, a market bullish is characterized by a continuous upward movement, which brings us back to the blessed times of 2020-2021 when the crypto market experienced record highs, in correlation with the traditional stock market.
On the same subject :
Crypto Crash: Bitcoin Drops Below $24,000, How Low Can It Go?
Source : The Next Web
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