Things to Remember When a Bear Market Appears

The bear market has never been a place for impatience. This is not the time to “get rich quick,” but rather a period to preserve capital, maintain discipline, and survive until the next growth cycle. If you understand the true nature of a bear market, you will avoid many unnecessary mistakes.

1. Buying Is Equivalent to Contrarian Trading When the larger timeframe trend is still down, all long positions are contrarian trades. That doesn’t mean you can’t make a profit, but you must accept a higher probability of failure than usual. Don’t let a few green candles make you forget the bigger picture.
2. Short-Term Rebounds Are Common and Fragile In a bear market, rallies are often just technical rebounds. Prices can rise quickly over a few hours or days, but if the larger structure hasn’t reversed, it’s likely just a “pause before further decline.”
3. Breakouts Can Turn Into Bull Traps Breakouts above resistance in a downtrend are often unsustainable. Many “breakouts” are actually fake-outs—false breakouts designed to trap liquidity before sharply reversing downward. FOMO during this phase often comes at a high cost.
4. Declines Are Fast, Gains Are Slow A common characteristic of bear markets is that declines tend to be faster and more powerful than recoveries. Just one bad news or heavy selling pressure can cause prices to plummet in a short time. Conversely, regaining previous levels usually takes a lot of time and sustained demand.
5. Support Levels Are Easily Broken, Resistance Is Very Strong In a downtrend, support zones are often easily breached. Conversely, each resistance level above becomes a “heavy wall.” Therefore, expecting “the price has hit a strong support and will definitely bounce” is a very risky mindset.
6. Positive News Only Creates Short-Term Waves Good news in a bear market usually only triggers a short-lived pump. When overall sentiment remains negative and large capital hasn’t returned, the positive effect of news rarely lasts long.
7. Patience Is More Important Than Constant Trading You don’t always need to enter a trade. Sometimes, the best trade is… not trading at all. Overtrading in a bear market only drains your account through fees and consecutive bad trades.
8. Capital Preservation Is More Important Than Catching the Bottom Trying to perfectly catch the bottom is a high-risk game. In a downtrend, risk management and capital preservation should be top priorities. As long as you have capital, you have a chance. When the bull cycle returns, those who survive will be the winners. Conclusion A bear market is not for excitement. It’s a test of discipline, psychology, and risk control. This is not the phase to make quick money but to survive and prepare for the next growth cycle. The winner is not the one who makes the most money in a bear market, but the one who still has enough capital and mental resilience when the bull market returns.