This afternoon, Da Bing and Er Bing continued to crash the market #加密市场观察 $ETH
Reason for the crash
This drop can be understood as the market's 'stress response' under several pressures:
1. Macroeconomic sentiment has cooled: Signs of tension in trade relations between Europe and the United States have caused some funds to flow out of risk assets (such as cryptocurrencies).
2. High leverage has been 'exploded': The market had previously accumulated too much bullish leverage, and the sudden price drop triggered large-scale forced liquidations. In the past 24 hours, approximately $875 million in positions have been liquidated across the network, the vast majority being bullish long positions. This is equivalent to the fuse of a stampede event.
3. Insufficient buying power: At high price levels, the real spot buying has not kept up, leading to a lack of support for the price, making it relatively weak.
Market trend for the next day
In the next 24 hours, the market will digest this drop, and it is expected to focus on oscillation and finding support.
The most likely scenario: BTC is expected to find support in the 91200 - 906500 range and attempt to rebound. However, it will be difficult to immediately return to the high point, as the selling pressure above will be heavy.
Risks to note: If BTC effectively breaks below 90500, it may directly fall below the 90000 level, heading straight for 86000. Similarly, if ETH loses 3060, it may continue to weaken.
A positive signal: On-chain data shows that some 'whale' addresses holding large amounts of BTC are buying during the decline, which may indicate that there is some support below in the market.
In summary, this is mainly a 'technical adjustment' triggered by external news, targeting high leverage. The key in the next day is to see if it can stabilize at the key support level.
Reason for the crash
This drop can be understood as the market's 'stress response' under several pressures:
1. Macroeconomic sentiment has cooled: Signs of tension in trade relations between Europe and the United States have caused some funds to flow out of risk assets (such as cryptocurrencies).
2. High leverage has been 'exploded': The market had previously accumulated too much bullish leverage, and the sudden price drop triggered large-scale forced liquidations. In the past 24 hours, approximately $875 million in positions have been liquidated across the network, the vast majority being bullish long positions. This is equivalent to the fuse of a stampede event.
3. Insufficient buying power: At high price levels, the real spot buying has not kept up, leading to a lack of support for the price, making it relatively weak.
Market trend for the next day
In the next 24 hours, the market will digest this drop, and it is expected to focus on oscillation and finding support.
The most likely scenario: BTC is expected to find support in the 91200 - 906500 range and attempt to rebound. However, it will be difficult to immediately return to the high point, as the selling pressure above will be heavy.
Risks to note: If BTC effectively breaks below 90500, it may directly fall below the 90000 level, heading straight for 86000. Similarly, if ETH loses 3060, it may continue to weaken.
A positive signal: On-chain data shows that some 'whale' addresses holding large amounts of BTC are buying during the decline, which may indicate that there is some support below in the market.
In summary, this is mainly a 'technical adjustment' triggered by external news, targeting high leverage. The key in the next day is to see if it can stabilize at the key support level.