The real difference between a bull and bear market is that Bear market is a condition in which securities prices are falling, and widespread pessimism causes negative sentiment to be self-sustaining, As investors anticipate losses in a bear market and selling continues, pessimism only grows. Bear markets ca be caused by economic downturns geopolitical events and changes in investors sentiment. A bull market is a condition in which securities prices are rising, and optimism causes the positive sentiment to be self sustaining. As investors anticipate gains in a bull market and buying continues optimism only grows. Bull markets can also be caused by economic upturns, geopolitical events and changes in investor sentiments. The main difference between bear and bull market is the direction of security prices.