A Bear Market is a market condition where stock prices fall significantly (typically by 20% or more) over a sustained period, accompanied by negative investor sentiment.
A Bear Market represents a phase of declining prices and pessimism in financial markets. It can affect stocks, bonds, real estate, and other assets.
This phase is often linked to economic slowdown, high inflation, rising interest rates, or global crises. During a bear market, investors tend to sell assets, leading to further price declines.
"If a stock index falls from 50,000 to 40,000 (a drop of 20%), it is considered a bear market."