A Bear Flag is a technical analysis pattern that indicates a potential continuation of a downtrend in the price of an asset, such as stocks or cryptocurrencies. It typically forms after a significant price decline, followed by a brief consolidation period where the price moves sideways or slightly upward, resembling a flag on a pole. Traders often look for this pattern to signal a possible entry point for short positions. The pattern consists of two main parts: the initial sharp decline, known as the "flagpole," and the subsequent consolidation phase, which forms the "flag." Once the price breaks below the lower trendline of the flag, it may suggest that the downtrend will continue, prompting traders to sell or short the asset. Understanding this pattern can help investors make informed decisions in the market.