Why can retail investor sentiment serve as a contrarian indicator?

Retail investors are not unthinking; rather:

🧠 Everyone thinks they are "smart money," but in reality, it’s just another form of emotional resonance.

In the past, it was "chasing on the rise, cutting on the fall."

Now, it’s "thinking that after a big rise, it should drop, and after a significant drop, it should rise," leading to blind high shorting / low longing.

🎯 But the market makers are also evolving:

Deliberately creating "false tops" 🔺 and "false bottoms" 🔻, making you think you've seized an opportunity, while in fact, you are being lured step by step into a trap 🪤. #BNB创新高 #ETH重返3800