📚💥 Ethereum Breakout and Liquidations – A Lesson in Bear Traps and Risk Management 🧠📈
Today, July 16th, Ethereum gave us a real-time masterclass in market psychology and risk management.
Let’s start with the facts:
📊 Liquidation Data
🔻 $36.34M in long liquidations
🔺 $86.02M in short liquidations
💣 Total ETH liquidations: $122.36M (data mentioned on video might differ, i made a small mistake)
🌐 Across crypto: $351M liquidated (more shorts than longs)
This imbalance tells us one thing: a bear trap played out, and it played out hard.
🧠 Educational Takeaways
1. Bear Traps Are Real — and Expensive
A bear trap occurs when the market appears bearish, drawing in short sellers — only to violently reverse upward. Today’s Ethereum move was a textbook example. If you’ve been following my analysis, we discussed the regression lines, divergences, and structure that all warned against going short at support.
2. Open Interest and Sentiment Signals
Open interest has been declining — which means fewer speculative positions. That often creates space for a real, organic move, not one fueled by overleveraged noise.
3. Spot vs. Leverage – Risk Control First
Leverage isn’t the enemy — unmanaged leverage is. I personally use a dedicated high-risk account to trade fast setups. This keeps my core capital untouched and my psychology stable.
✅ Risk is defined before the trade.
✅ Entries are structured like bullets — small, multiple attempts.
4. The Mental Game is the Real Game
Trading isn’t just technical. It’s deeply psychological. Whether you’re trading Ethereum, Bitcoin, or altcoins like AVAX and XRP, emotions must be managed before capital is deployed.
5. Like-Minded Community = Sharper Edge
My best trades and insights often come from conversations with trusted, sharp minds in this space. Surrounding yourself with serious traders can be the difference between evolving — and evaporating. To my brother Vlatko (met on Tradingview, been hanging around online ever since, met in person once, now a true friend that we frequently disagree but always agree to respect and empower each other = The power of our community here on TV!)
Final Word:
When markets move fast, lessons appear even faster.
Study the traps. Respect the levels. Structure your risk.
And above all: trade with a plan that allows joy.
One Love,
The FXPROFESSOR 💙
Disclosure: I am happy to be part of the Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis. Awesome broker, where the trader really comes first! 🌟🤝📈
Today, July 16th, Ethereum gave us a real-time masterclass in market psychology and risk management.
Let’s start with the facts:
📊 Liquidation Data
🔻 $36.34M in long liquidations
🔺 $86.02M in short liquidations
💣 Total ETH liquidations: $122.36M (data mentioned on video might differ, i made a small mistake)
🌐 Across crypto: $351M liquidated (more shorts than longs)
This imbalance tells us one thing: a bear trap played out, and it played out hard.
🧠 Educational Takeaways
1. Bear Traps Are Real — and Expensive
A bear trap occurs when the market appears bearish, drawing in short sellers — only to violently reverse upward. Today’s Ethereum move was a textbook example. If you’ve been following my analysis, we discussed the regression lines, divergences, and structure that all warned against going short at support.
2. Open Interest and Sentiment Signals
Open interest has been declining — which means fewer speculative positions. That often creates space for a real, organic move, not one fueled by overleveraged noise.
3. Spot vs. Leverage – Risk Control First
Leverage isn’t the enemy — unmanaged leverage is. I personally use a dedicated high-risk account to trade fast setups. This keeps my core capital untouched and my psychology stable.
✅ Risk is defined before the trade.
✅ Entries are structured like bullets — small, multiple attempts.
4. The Mental Game is the Real Game
Trading isn’t just technical. It’s deeply psychological. Whether you’re trading Ethereum, Bitcoin, or altcoins like AVAX and XRP, emotions must be managed before capital is deployed.
5. Like-Minded Community = Sharper Edge
My best trades and insights often come from conversations with trusted, sharp minds in this space. Surrounding yourself with serious traders can be the difference between evolving — and evaporating. To my brother Vlatko (met on Tradingview, been hanging around online ever since, met in person once, now a true friend that we frequently disagree but always agree to respect and empower each other = The power of our community here on TV!)
Final Word:
When markets move fast, lessons appear even faster.
Study the traps. Respect the levels. Structure your risk.
And above all: trade with a plan that allows joy.
One Love,
The FXPROFESSOR 💙
Disclosure: I am happy to be part of the Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis. Awesome broker, where the trader really comes first! 🌟🤝📈
🌍 All in one place → fxprofessor.com
🧠 Free FXPROFESSOR AI on ChatGPT
🔧 Top tools to level UP your trading
💹 Best crypto, forex & stock deals
📣 Telegram: t.me/fxprofessor88
💥 I don’t follow trends. I build the tools to catch them!
🧠 Free FXPROFESSOR AI on ChatGPT
🔧 Top tools to level UP your trading
💹 Best crypto, forex & stock deals
📣 Telegram: t.me/fxprofessor88
💥 I don’t follow trends. I build the tools to catch them!
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
🌍 All in one place → fxprofessor.com
🧠 Free FXPROFESSOR AI on ChatGPT
🔧 Top tools to level UP your trading
💹 Best crypto, forex & stock deals
📣 Telegram: t.me/fxprofessor88
💥 I don’t follow trends. I build the tools to catch them!
🧠 Free FXPROFESSOR AI on ChatGPT
🔧 Top tools to level UP your trading
💹 Best crypto, forex & stock deals
📣 Telegram: t.me/fxprofessor88
💥 I don’t follow trends. I build the tools to catch them!
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.