B_ Mimetic Conjuncture of Supply and Demand: A Crowd-Based Dynamics Interpretation of Financial Market Regimes

This work introduces the concept of Mimetic Supply–Demand Conjuncture, a structural interpretation of financial market dynamics within the Crowd-Based Dynamics (CBD) framework. Traditional economic models often interpret financial markets through equilibrium mechanisms between supply and demand. However, empirical observations show that markets rarely operate under stable equilibrium conditions. Instead, they exhibit persistent trends, volatility clustering, abrupt reversals, and complex cyclical structures. Within the CBD framework, financial markets are interpreted as adaptive collective systems in which price dynamics emerge from behavioral interactions among participants. Collective imitation, emotional activation, and structural memory generate feedback loops that shape market trajectories. The Mimetic Supply–Demand Conjuncture proposes a behavioral asymmetry between demand and supply: Demand acts as the initiating force of market movement. Supply emerges as the temporal projection of previously accumulated demand. Market regimes evolve through the interaction between two structural divergence mechanisms: Continuation divergences (Dc), which represent the long-term directional structure of the market. Rolling divergences (Dr), which regulate short-term fluctuations within the dominant trend. These interactions generate recurring market phases including expansion, consolidation, saturation, and regime transition. The document presents: the theoretical foundations of the mimetic conjuncture concept a formal mathematical framework integrated within the canonical CBD structure an empirical interpretation using observable market indicators such as RSI, MACD, and trading volumes structural extensions clarifying divergence interactions and mimetic memory effects. The Mimetic Supply–Demand Conjuncture should be understood as a structural behavioral law describing the dynamics of market regimes, rather than as a deterministic price prediction model. By integrating collective psychology, mimetic amplification, and structural memory, this framework provides a unified perspective on financial market dynamics within complex adaptive systems.