#数字资产市场观察 This wave of market movement has caused many frens to lose their composure. However, from my perspective, this kind of trend had actually shown signs earlier.

The volatility of the cryptocurrency market is never simply a matter of supply and demand. Especially when the total liquidation data across the network reaches billions of dollars and hundreds of thousands of accounts are forcibly liquidated— the driving force behind this is likely not just the panic of retail investors.

**The market is testing everyone's bottom line**

Did you notice a detail? When BTC broke through the 90,000 integer level, it almost plummeted vertically, without even a decent retracement. This kind of price action characteristic often appears when liquidity is being concentrated and withdrawn. Those positions with stop losses set at 90,500-91,000 were most likely swept clean in an instant.

In simple terms, it means that there is capital precisely targeting the psychological defenses of high-leverage players. When they can't hold on and are forced to cut their losses and exit, the floating chips turn into chips in the hands of others.

**Timing selection is very subtle**

A couple of days ago, I went through discussions in various communities and found an interesting phenomenon: everyone is generally not panicking, and some even see the pullback as a buying opportunity. The long-short ratio is seriously imbalanced, and there are voices everywhere saying "hold firmly."

The market often goes against human nature. When everyone feels that "it's stable," unexpected events are more likely to occur. Today's sharp drop is, to some extent, a digestion of overly optimistic emotions. We need to clear out the funds that are "adding positions regardless of cost" first, so that future rallies will be smoother.

**Don't treat a washout as a trend reversal**

What does a real bear market look like?
No one is discussing, no one is analyzing, not even bothering to complain. The entire market has fallen into silence.

But what about now? Various interpretations are flying everywhere, with bottom-hunting calls rising and falling, and self-deprecating remarks of "took another hit" are everywhere. What does this indicate? Funds are still in the market, and the sentiment is still very active. In this state, the trend usually hasn't finished yet.

It is more like a technical correction in a bull market—shaking out the weak hands and transferring the chips to those with more patience. Once the floating chips are digested, the resistance will actually become smaller.

**Several key positions worth paying attention to**

I personally will keep an eye on these several ranges:
- **90000 frontline**: This is an important psychological barrier; breaching it will trigger a series of stop-losses.
- **87000-83000 range**: A historical area of dense trading. If the trading volume significantly shrinks here, it often indicates that the selling pressure has almost been released.
- **Can we quickly reclaim 89500**: If we can return to this position in a short period of time, it can basically be judged that the washout is coming to an end.

The market is always full of volatility; what it lacks are those who can remain calm amidst the fluctuations. Don't let short-term volatility disrupt your rhythm, and don't make impulsive decisions when your emotions are at their peak. What the big players want is not the coins in your hand, but the chips you sell at low prices out of panic.

Understanding it and being able to hold on to it - this is the true valuable ability.

$ETH