In a bull market, sharp declines frequently occur, driven by a series of market operation considerations. Firstly, the market needs to utilize extreme volatility to conduct a 'wash' — that is, to eliminate retail investors.

Due to the generally strong willingness of retail investors to hold onto their stocks and their high level of stickiness, they are usually reluctant to easily sell their assets. Therefore, a sharp decline is needed to force them to sell. In fact, sharp declines may need to occur multiple times to effectively clear out most retail investors.

So why clear out retail investors? Many might think, wouldn't it be better if everyone made money together? But from the perspective of market leaders, this is not the case. Without new capital inflows, if retail investors are not cleared out, the leaders will face significant financial pressure when pushing up coin prices. Once retail investors make a profit, they often choose to sell, leading to continuous selling pressure on the leaders during the upward push.

This increases costs, almost like carrying retail investors on their backs.

Therefore, after clearing out retail investors through methods such as sharp declines, the market becomes clearer, and the leaders can continue to drive up coin prices without interference from retail investors, and there is no longer selling pressure, making subsequent rises smoother. This operation is beneficial for the leaders to gain a larger profit margin and provides better conditions for future market rises.