Looking at today's ETH chart, I believe many people have felt the rhythm of "sharp rises and falls"—sometimes surging upward, sometimes pulling back to confirm. This rollercoaster-like volatility actually has its reasons, and the key lies in understanding the market logic behind it.

Let's start with the technical aspect. The 3190 level is not arbitrarily set; it serves three roles simultaneously: the lower support of the recent consolidation range, the convergence point of the 5-day and 10-day moving averages, and a resistance level that has been tested multiple times before. How important is this level? Once it is effectively broken downward, the entire consolidation pattern will be disrupted, and the downward space will be fully released. Conversely, if it holds steady, the market is likely to continue testing the resistance zone around 3350-3360. So, it acts like a "dividing line" between bulls and bears, and is a crucial hub for observing subsequent movements.

Now, let's look at market sentiment. The short positions between 3285-3310 last night were able to profit smoothly, which actually signals that the current market is filled with caution. Large funds are quietly reducing their positions for profit, while retail traders are still chasing highs and cutting losses. This emotional disparity provides us with an opportunity to intervene.

Why is it not advisable to blindly chase longs? Simply put, the trading volume currently shows no signs of expansion, and the upward movement lacks effective momentum support. This divergence between volume and price usually indicates that the rally is driven by short-term funds stacking up, and such gains often lack sustainability, easily trapping latecomers at high levels. Instead, shorting at high levels and engaging in short-term rebounds aligns better with the current rhythm.