Panic selling is a wide-scale selling of an investment which causes a sharp decline in prices. Specifically, an investor wants to get out of an investment with little regard of the price obtained. The selling activity is problematic because the investor is selling in reaction to emotion and fear, rather than evaluating the fundamentals. Most major stock exchanges use trading curbs to throttle panic selling, providing a cooling period for people to digest information related to the selling and restore some degree of normalcy to the market.
Causes of panic
The panic is typically the “fear that the market for a particular industry, or in general, will decline, causing additional losses.” In event of panic selling, the market is flooded with securities, properties or commodities that are being sold at lower prices, in which further stumbles prices and induces more selling. Common causes of panic selling are:
High speculation in market (e.g. Dubai's Housing Crash in 2009)
Economic instability (e.g. The Financial Crisis in 2008)
Bogotá... growing investor fears about government finance ... While the peso and real both weakened as fiscal concerns increased this year, the Colombian currency has so far avoided the panic selling seen in Brazilian markets in recent weeks ... .
Top of the list. Doge Uprising – an upcoming presale that’s building some serious buzz ...Let’s talk about ETH for a second ... Even now, with its price down to $3290 at the time of writing, ETH holders aren’t hitting their panic sell buttons ... Website .
The platform highlighted that market rebounds often follow panic-driven retail sell-offs, allowing larger investors, or “whales,” to accumulate assets at discounted prices.
By the way, Zendaya is fine ... Same energy? ... Don’t panic sell ... No one really knows, and the movement is primarily determined by events and then by masses of people with small positions selling for less than they paid for it because they freak out ... ....
Panic selling creates opportunities for larger investors to accumulate at discounts ...Data from Santiment shows this sentiment is causing significant sell-offs, putting more pressure on prices.
Don’t sell?. When share prices start going down quickly, it can be tempting to try and limit the damage by selling before they go lower ...Nobody buys shares with the intention of selling them at a lower price ... Don’t panic! ... Selling in a market crash.
These traders, having joined the market in the last few months, are reacting emotionally to global market conditions, but history suggests that such panic selling can create opportunities for larger investors.
After crashing nearly 15% Bitcoin has spent nearly a week below $100K and BTC currently trades at $94,124 ... This profit-taking suggests that investors panic sold. Hence, the chances of a further drop due to spike in selling pressure. BTC NPL ... 30-day MVRV.
Among these, QuarkChain (QKC) saw the steepest decline, dropping 12% ... These cases demonstrate how delistings often lead to panic selling, reduced liquidity, and long-term price declines, causing significant concerns for investors in affected tokens. .
Binance’s recent delistings. Stringent standards in play? ... NOT/BNB and RDNT/BTC ... ... ... 😉 ... The trader was forced to panic sell at $0.09567, with the remaining position liquidated at just $0.01157, resulting in a $102,000 loss within 12 minutes ... ....
At the higher price range, drawdowns become even smaller, as most traders are avoiding panic-selling ... In 2024, the price moves near the BTC peak are more often caused by whale traders instead of a mix of FOMO and panic-selling.
More importantly, the latest crash in the Litecoin price hasn’t caused these investors to panic and sell ...Something to note is that while selling registers immediately in the supply charts of the older cohorts, buying isn’t the same.
Cryptocurrencies faced declines due to panic selling in the U.S. markets. ContinueReading.Market TrendsInfluence Cryptocurrency Prices The post Market Trends Influence Cryptocurrency Prices appeared first on COINTURK NEWS... .
Ethereum Market Sentiment And SupportLevels...Market sentiment, as indicated by the Fear and GreedIndex at 57 (greed), suggests that retail investors see the current dip as a buying opportunity rather than a reason for panic selling ... Network Upgrades.
