Bear Market

A bear market is a sustained downtrend in asset prices, conventionally marked by a 20%+ decline from recent highs. In crypto, bear markets are sharper and longer than equity bear markets — 60-80% drawdowns over 12-24 months are typical (2018, 2022).

For crypto holders, bear markets create a dilemma: selling locks in losses and triggers tax events, but holding through volatility can be psychologically and financially stressful — especially if you need liquidity.

Why it matters for Milo customers

Milo's crypto-backed products are especially useful during bear markets. Selling crypto at a depressed price to fund a real estate purchase locks in the loss; borrowing against it preserves your position so you participate in any eventual recovery. Margin-call thresholds disclosed upfront help you manage the downside risk.

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