Crash

A crash is a sharp and rapid decline in an asset’s price that occurs over a short period of time. It is often accompanied by unusually high trading volume and elevated volatility. Crashes can be driven by a sudden shift in market liquidity, major news events, forced selling, a broad change in risk appetite across markets, or other factors. In crypto markets, crashes are often associated with fast moves across multiple venues and pairs as prices reprice in seconds or minutes rather than over days or weeks. The term describes the speed and magnitude of the decline rather than a specific percentage threshold.

For example if a token trades at $5.00 and falls to $1.00 within an hour. This move would be described by many as a crash.