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After the Bank of Japan signaled a rate hike, the crypto market responded with a rally this morning. However, the logic behind this surge is quite interesting—market participants had already priced in a lot of risk premiums, and genuine panic sentiment had been gradually released days earlier. Therefore, when the policy was implemented, it actually created a concentrated window for long positions.
However, caution is needed in this situation. The sharper the market rises, the greater the risk of a pullback. From a technical perspective, $ETH has already reached some key resistance levels. Whether it can break through in the short term is the next critical point. Once it faces resistance at high levels, the previously accumulated floating chips will accelerate their realization.
Some veteran traders have already set ambush points at key support levels. If subsequent rebounds confirm validity, this opportunity could yield significant returns. But the prerequisite is to respect the risks and avoid blindly chasing highs—markets are never short of opportunities; what’s lacking are participants who can stay in the game long enough.
ETH’s trend warrants ongoing observation, especially considering liquidity changes brought about by external variables like Japan’s rate hike.