#ETH I have been watching the recent trends of Ethereum, and it is indeed interesting. Many people have suffered losses due to this wave of market movement—long orders got liquidated, and they tried to short but ended up getting pumped, the repeated feeling of cutting losses is indeed painful. A fren said something funny: "Christmas was supposed to be joyful, but instead, I received a liquidation notice," although it was a joke, it reflects the real market situation.

What's going on with this spike? Looking closely, the logic is actually quite clear. During Christmas week, retail investors are busy celebrating, and their position management is often not rigorous enough, with stop-loss positions set relatively loosely, which provides room for large capital operations. Coupled with the recent fluctuations of ETH within a range and the divergence of bullish and bearish opinions, large funds are seizing the opportunity to simultaneously harvest from both sides through violent volatility, making profits while also washing out those retail investors who are not steadfast enough, preparing for the subsequent trend. As the end of the year approaches, institutional investors are closing their books and reallocating funds, all of which are possible triggering factors.

How to determine whether the main force is just washing the盘 or really crashing? Here is a practical method: look at the rebound after the pin. If the rebound reaches more than 70% of the original position within 1 hour after the pin occurs, and the trading volume increases, it is basically a washing盘 nature; on the contrary, if the rebound is slow and the volume is sluggish, it might be a real downward signal. Then look at the larger trend support level - has the pin broken the key support? If it has broken, it might indicate a direction change; if it hasn't, then it's just a technical fluctuation recovery. This method has been used for several years and is indeed effective.