A dip is a temporary decline in the price of a share, index, cryptocurrency or other asset, after which the price is expected, though not guaranteed, to resume its earlier trend. The term is informal: a fall of a few percent in a day might be called a dip, while a drop of 10% or more is usually described as a correction, and a deeper, longer decline as a bear market. "Buying the dip", abbreviated in crypto slang as BTFD, is the strategy of adding to a position after a fall in the hope of a rebound. The approach worked well in long rising markets but can be costly when a dip turns out to be the start of a lasting decline, as many crypto buyers found in 2022. Some investors spread purchases over time to reduce that risk. Also see capitulation.
Last updated 13 Nov 2026