Lately I've been watching the crypto market, and that feeling is truly hard to describe. Global liquidity is clearly easing, and according to the macro cycle logic, this wave of market should be moving upward. But the crypto space stubbornly has created a strange rhythm of "isolation and helplessness."

Let's first break down the two most pressing current dilemmas in the crypto world. The first is liquidity exhaustion—you want to sell but can't sell, want to buy but can't get in; the entire market looks like a dead pond. As soon as some funds pour in, it immediately stirs a ripple, but then it’s quickly pushed back to the original state. The second phenomenon is called "drawing gate," which basically means the market suddenly surges in a straight line then crashes through, or drops first then rises; the whole process feels like a puppet show. Retail investors chase highs and sell lows with aggressive moves, only to find their principal cut in half.

Even more heartbreaking is the chaos within the ecosystem. On one side are speculators driven by the hope of "getting rich overnight," who dare to go all-in with no understanding, and then curse when they lose. On the other side are mechanisms disguised as "project teams" or "mentors" that harvest value, taking advantage of the muddy waters to pump out various air coins and pyramid schemes, leaving newcomers with total losses. If this continues, the market will lack profitability; not only will newcomers be hesitant to enter, even veteran players will start to exit.

Let me share some insights. My core judgment on the current market is: this round of rally is becoming increasingly "boring." The fundamental reason lies in capital divergence. In theory, central banks worldwide are releasing liquidity, and traditional assets are also warming up, but these incremental funds simply can't enter the crypto space. Some institutions and big players are waiting and watching, waiting for clearer signals before acting; retail investors, meanwhile, have lost confidence after repeated losses. The result is capital operating in silos, and market vitality is severely lacking.

All the various "drawing gates" and liquidity dilemmas mentioned earlier are ultimately manifestations of capital fragmentation. When market consensus breaks down and participants can't form a unified price discovery mechanism, any technical or fundamental positive news is hard to translate into sustained upward momentum.