Ethereum bears' Achilles' heel: Why even genius traders can't escape this catastrophe

Many people think they are geniuses, and as soon as they make money, they immediately short Ethereum in the opposite direction. Little do they know, this is exactly the trap the market loves to set.

Whether you previously went long successfully at 4000, 4200, or 4400 and made a profit, or you are full of imagination about future prices of 4800 or even higher, as long as you dare to short ETH, this wave of market movement will definitely make you pay the price. And the more persistent you are with short positions, the more thorough your losses will be — only when Ethereum surges to 5000, 5500, or even more extreme heights will your stop-loss be repeatedly broken.

This is the market’s law. True turning points often occur when everyone has given up on bottom-fishing and instead targets 4000 as the goal price for shorting; only then will the market turn downward, even crashing straight down to extreme lows like 2500. By then, it’s too late to regret.

As a representative retail trader, I am a living example of this law. I set my stop-loss at the recent high of 4650, but the market only retraced to 3800 before bouncing back. That loss deepened my understanding of a principle: in front of mainstream coins like ETH, individual technical analysis and market predictions are often fragile and weak.

Currently, Ethereum is quoted at about $2920, but this price itself doesn’t mean much. The important thing is to recognize: this market will not spare you just because you are smart, nor will it show mercy because you have made money before. Every reverse bet is a game of liquidity with the entire market.