WTI crude oil drops sharply, the worst affected are not retail investors, but the stubborn players "holding full positions to bottom fish"

After WTI falls below $90, two types of people appear in the market.
First type:
"Finally dropped, I've been waiting to bottom fish for a long time!"
Second type:
"I've bottomed three times already."
The most classic pattern in the crude oil market is to make everyone think they bought low enough, but it can still go lower.
Many retail investors see the oil price drop and instinctively think:
"It's fallen so much, it should rebound, right?"
But financial markets never talk about "should".
Especially high-volatility assets like crude oil, once emotions get out of control, prices can be more absurd than jokes.
This round of oil price adjustment, the core issue is actually just one sentence:
The market is beginning to doubt the global economy.
Although the US data is not yet collapsing, high interest rates have already put noticeable pressure on consumption; Europe’s recovery remains slow; manufacturing prosperity has not shown a super breakout.
When capital sees this, demand calculations immediately restart.
And crude oil prices, in essence, are a thermometer of the global economy.
If the market feels the economy is hot, it rises;
If the market feels the economy is cold, it falls.
So WTI breaking below $90 is not just a numerical change, but more like an emotional turning point.
Many funds that previously went long wildly are starting to actively reduce risk.
The most interesting thing is, every time the financial market drops, a large number of "philosophy masters" are born.
Someone says: "Patience is the most important in investing."
Someone says: "The market is always right."
And someone says: "I just hold long-term."
Basically translating to:
"Temporarily trapped."
But veteran traders are not so panicked.
Because they know that the biggest feature of the crude oil market is:
There is no forever unidirectional trend.
It rises when it’s overbought, and it rebounds when it’s oversold.
Especially around $90, which is a key psychological zone, once broken, it can easily trigger emotional stampedes, but after a deep drop, it also tends to attract bottom-fishing funds.
Plus, OPEC+ may continue to cut production at any time, so the bears don’t dare to celebrate completely.
Thus, the market enters a very dramatic state:
Bulls are unwilling;
Bears don’t dare to be too greedy;
Retail investors refresh their accounts every day.
And the most uncomfortable are actually high-leverage players.
Because the greatest destructive power of crude oil is not in the direction, but in volatility.
You may be right about the direction, but a sudden sharp震荡 can knock you out first.
That’s why many veterans often say:
Trading crude oil, the most important thing is not how much you earn, but not to die first.
This sentence sounds like a joke, but it’s actually a truth.#WTI原油失守90美元