Today's Observation: It's that time again when the market is hard to understand, slowly observing and waiting for the opening..

After studying for a whole morning, I still can't figure out why this morning's wave happened....

Are there any updates on the macro front? It seems not...

Is it about obtaining liquidity? Not only did it clear the longs below 11.70, but it also reached below 11.50...

Did the US stock market drop? The index futures initially rose after opening this morning, and then fell....

Looking back at this weekend.. I took several low longs around 11.70.. Typically, when the weekend gives a “seemingly bottom”.. it’s easy to stir things up around the opening of CME early Monday morning..

I originally thought this waterfall would only touch the accumulated liquidity below 11.70, at most to 1160.. But the imagined move was quite aggressive.. That order that dropped down took a loss..

From the orders perspective as well.. In the past 8 hours, the spot CVD was -2000.. Equivalent to a continuous sell-off in the spot market... 11.60w small orders were broken through, and more than 300 large orders at 11.50w were consumed... After consuming, it didn't bounce back...

On the Ethereum side, they were also chasing and clearing the whales... There was a guy who started longing Ethereum from 1490 with a capital of 12.5W, rolling it up to a peak profit of 4300W... He was also chased and cleared down... His profits significantly retraced, ultimately just clearing everything... In the end, he only bagged a profit of over 600, almost 700W...

Reviewing these 12 hours, apart from a significant decline in CVD after the rise and fall.. I can't find any obvious indicator signs.. The only possibility might be the clear CVD divergence when it spiked to 11.85 yesterday.. (But the divergence wasn't large, as the weekend liquidity was low) So there’s nothing much to deduce.. I can only say that emotions dominate...

Without any obvious dominance, if it breaks through here at 11.70w.. we should be cautious.. At least the strong support has turned into strong resistance..

The rest of today is just to watch the US stock market open in the evening, to see if there’s a chance to return below 11.70...

In this kind of market that’s outside of one’s own system, observation is key.... More watching, less acting...