Recently, the cryptocurrency market has really made people both love and hate it! The main players are getting better at the "bull trap" trick tonight. Today, let's talk about this deceitful routine.

What is a bull trap?

In simple terms, it means that the market makers first push the price up to attract you to buy in. Just when you are filled with joy thinking it's about to soar, they suddenly crash the price, leaving you trapped. Tonight, Ethereum is a living example, first falsely breaking above $2600 to attract a wave of retail investors chasing the price, then turning around and crashing to around $2400.

How to spot a bull trap?

1️⃣ Look at the trend: When the overall trend is downward, be cautious of any rebounds. For example, Bitcoin rebounded from $104,000 to $106,000, and many people thought it had reversed, but the result... you know what I mean.

2️⃣ Look at the volume: If the price is rising but the trading volume is shrinking, it's likely a trap.

3️⃣ Look at on-chain data: If large addresses are quietly offloading their assets, then the rise is just an illusion.

Recent typical cases

- How many people got liquidated by today's "wick" on Ethereum?

- Those altcoins that rely on pump-and-dump tactics, once they pump, they run away.

Trap prevention guide

✅ Don't get tempted to bottom-fish in a downtrend.

✅ Set a stop-loss (for example, withdraw if it drops 3% below the support level).

✅ Validate from multiple dimensions: technical analysis + on-chain data + macro policies.

✅ Stay away from those hyped-up air coins.

Personally, I believe that in the cryptocurrency world, the most important thing is not how much money you make, but how to avoid falling into traps. Those seemingly beautiful "sudden rise opportunities" are often just bloody chips...

Have you been trapped by a bull trap tonight? Feel free to vent in the comments! Follow me for more loss prevention tips! #币圈起伏落袋为安