Recently, this round $ETH has dropped sharply, not just a simple adjustment, but more like a "high-level game." On the surface, it's a breakout, but in essence, it's a typical fake move.
① Background Review
ETH has surged strongly for four consecutive months, hardly giving shorts any breathing room. Near the previous high of 4250, the market has been grinding out a "round bottom" for a whole month, ultimately choosing to break out. The problem is — the breakout means that there are plenty of long positions piled up around 4200, and the market must clear them out.
② Staking Pressure
After the surge, a large number of nodes queued up to exit ETH staking. At the current price, the scale of withdrawn funds is in the tens of billions of USD. Once the funding gap opens up, the already fragile high level becomes easier to break through.
③ Large OTC Orders
Historical experience: Whenever there's a large OTC inflow, even if centralized exchanges back it up, it often triggers a sharp drop. This time was no exception.
④ Expectations Unmet
The ETH staking ETF has yet to be approved, and there is a lack of consensus driving force at high levels. Without new expectations, the so-called breakout can only become a liquidity trap.
So, this round of price movement is very clear:
Deceiving liquidity at historical highs → Reverse and sweep down → Precisely wash to the 4030-4100 annual high range.
Don't panic.
A single-day drop of 10% in ETH is too common in the long river of history. It's just that this time, a month's accumulation of too many leveraged long positions led to a concentrated explosion of liquidations in 90 seconds, causing a sudden drop of 6%, which made people feel like they had a "cardiac arrest."
After the wash, the chips are cleaner; the real show is still to come, just waiting for Star Brother's notice! @Crypto星哥
