Bear markets are not fun, but they are also not the end (usually).
The big picture: The crypto market is still very new. There are risks and shaky technologies, many of which are failing in spectacular attention-grabbing fashion this week. But at the same time, the industry is on firmer footing today than it was in 2018's Crypto Winter, the last bear market.
Nevertheless, we may have arrived at bear. The mood needs to shift, and we might be there.
But in crypto, it's not truly a bear market until there are real consequences, such as:
Be smart: This is where things are different this time. Billions of dollars are committed to building out the industry. Just this year, venture funds with over a billion dollars under management have been announced, including Haun Ventures, Electric Capital, Andreessen-Horowitz's new fund, FTX Ventures and others.
Brady's thought bubble: Crypto will not be "dead" after a severe downturn, but it might drop out of the national conversation again. Regardless, the sector will carry on.
Context: In 2018, the bear market kicked in when word started going around that the U.S. Securities and Exchange Commission was knocking on the doors of startups funded by initial coin offerings (ICOs).
Today, there's no such clear single cause, in part because the cryptocurrency market has more use cases and more operational companies now.
The bottom line: Bear markets are familiar. No one likes them, but they come often enough that the established leaders know how to ride them out.
Go deeper: Teach yourself crypto in 10 steps with $100


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