Mania defines as excitement of psychotic proportions manifested by mental and physical hyperactivity and elevation of mood. This behavior leads to extended fifth waves. They are usually retraced a 100%. Here is a textbook example of an extended fifth wave:
Extended fifth waves are usually a result of greed or fear from hunger, drought. These next two charts are classic examples of an extended fifth waves formed by greed.
Tulip bulb prices soared in 1634-1637, reaching thousands of guilders(reference to gold coins between 14th and 16th century).The decline was greater than 96.5%. South Sea Bubble had a decline of 98% in less than two years. Bitcoin lost more than half of its value in less than three months.
Manias reach a state, worse than the one they were in when they began! This is not a pull-back and this is not the time for long positions. Third waves of corrections (Y or C) are the most devastating and reckless.