The recent price drop

Has basically wiped out most of the contract leverage, but why has there been a drop followed by another drop? Let me analyze it for you:

1. After the first drop, the market makers, based on trading data, confirmed that a large number of people were bottom-fishing, and the contracts continued to rise. The spot traders who chased the highs did not continue to panic sell their positions.

2. The second drop caused a lot of the altcoin structures to deteriorate, leading naked K traders and many retail investors to believe that the trend had reversed, resulting in them selling their positions, along with a second wave of aggressive speculative long positions from those who were bottom-fishing.

3. Christmas is an important holiday in the West, but it doesn’t mean that there will definitely be a big rise before Christmas. Price increases must be genuine, but they will only benefit the smart traders, not the inexperienced ones. Using the holiday atmosphere to wash out the optimistic retail traders is a good choice.

The above text encompasses the three roles of "Market Makers," "Insecure Retail Traders Who Chase Prices Up and Down," and "Technical Traders." $BTC