$ETH Bearish technical indicators: MACD, RSI, and EMA indicators all show strong bearish momentum, with RSI at 21.63, and EMAs showing a bearish crossover, indicating ongoing downward pressure. Liquidation risk: The high leverage of the exchange and significant unrealized losses from large holders, including a major whale's loss of $52 million, increase the risk of cascading liquidations. Network event: A vulnerability in Ethereum's Prysm client led to over $1 million in losses for validators, highlighting the importance of network resilience and client diversity. Clearly bearish thoughts have been short-circuited into buying long, when will the position be able to break even?
$ETH Network Client Vulnerability: A software vulnerability in the Prysm consensus client has resulted in validator losses exceeding $1 million (382 ETH), highlighting the inherent risks of client centralization within the Ethereum network. High Leverage Levels: Ethereum's estimated leverage ratio has reached a historical high of 0.579, indicating excessive leverage usage in the market. This situation increases sensitivity to rapid price fluctuations and the potential chain liquidations of long positions. Profit-Taking Pressure and Options Expiry: The rise in unrealized profits (NUPL at 0.296) may trigger sell-offs. Additionally, the upcoming expiry of $3.9 billion ETH options on December 26 may lead to increased market volatility.
$ETH High forced liquidation risk: Especially the high leverage ratio of exchanges, if ETH experiences a sudden downward price fluctuation, it may lead to a chain of forced liquidations, ETF outflows and poor performance: Recently, there has been a large outflow of funds from the spot Ethereum ETF, causing ETH to underperform relative to Bitcoin. Macroeconomic headwinds: The anticipated interest rate hike by the Bank of Japan and the general weakness in global markets may lead to further volatility and sell-offs in the cryptocurrency market.
$ETH Options Expiration: $4.3 billion worth of Bitcoin and Ethereum options expire, with Ethereum's maximum pain point at $3,100, exacerbating market volatility and downward pressure. High Leverage Risk: Ethereum's leverage ratio has reached a historical high, making the market susceptible to severe price fluctuations and leading to large positions being forcibly liquidated. Macroeconomic Headwinds: The Bank of Japan's anticipated interest rate hikes could negatively impact the overall cryptocurrency market, as previous rate increases have led to significant market declines. {future}(ETHUSDT)
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According to recent information, "Brother Majie" has been continuously engaging in leveraged long positions in the cryptocurrency market? #ETH
Latest update (December 7, 2025): Huang Licheng's Ethereum long position was completely liquidated due to market decline, but he subsequently opened a long position again, currently holding 2200 ETH.
Recent operations (November to December 2025): He frequently conducts leveraged trading, for example, on November 21, after his ETH long position was liquidated, he recharged $115,000 to continue opening long positions, forming a cycle of "increasing positions → liquidation → recharging." Additionally, on November 4, he reopened a 25x leveraged ETH long position with remaining funds, but the account continued to incur losses amid subsequent market fluctuations.
Loss situation: These operations led to significant losses. For example, on November 17, his 25x leveraged ETH long position was liquidated with a loss of $3.6 million; overall, looking at the peak value of nearly $60 million in account value, it nearly went to zero within 47 days, accumulating losses of over $19 million. Earlier records show that he cut losses and liquidated part of his long positions in October 2025, with losses reaching $21.53 million.
The Bank of Japan is highly likely to raise interest rates by 25 basis points to 0.75% at the monetary policy meeting on December 19, 2025. This policy shift is mainly based on the sustained inflation exceeding targets, the need to stabilize the yen exchange rate, and the price spiral pressure formed by wage growth.
Policy Expectations: The market expects a probability of over 90% for the rate hike on December 19, with the policy rate rising to 0.75%, marking the end of Japan's ultra-loose monetary policy that has lasted for over a decade.
Economic Background: In the third quarter of 2025, GDP contracted at an annualized rate of 2.3%, but the nominal price deflator index was revised up to 3.4%, indicating persistent inflation pressure.
In October, nominal wages increased by 2.6% year-on-year, reaching a three-month high, and the spring labor negotiations may push for wage increases of over 5%, solidifying the inflation base.
Policy Intent: The Bank of Japan is signaling a long-term hawkish stance by raising the neutral interest rate range (1%-2.5%), but emphasizes a "constructive ambiguity" strategy to maintain flexibility.
What are the effects of Japan's interest rate hike?
Historical comparison reference: In 2024, the Bank of Japan's first interest rate hike triggered a single-day plunge of 12% in the Nikkei index, and the current market liquidity environment is more fragile.
Future interest rate hike rhythm: Adopting a "constructive ambiguity" strategy to avoid giving a clear end point for interest rate hikes. Former central bank official Ayako Fujita pointed out that 1% may serve as the lower limit for the neutral interest rate, with the actual level possibly implied to be higher.
Policy contradiction controversy: The Japanese government concurrently launched a 21 trillion yen economic stimulus plan, which forms a policy hedge against interest rate hikes.
Concerns about debt risk: The government debt ratio has reached 229.6%, and aggressive interest rate hikes may exacerbate doubts about fiscal sustainability.
Current expectations for the Federal Reserve to cut interest rates in December have significantly increased. The market predicts that there is over an 80% chance of a 25 basis point rate cut being announced at the meeting on December 10, but the expectation for the number of cuts next year has been revised down from three to two.
Announcement time: The final monetary policy meeting of 2025 will announce its decision at 8:00 PM local time on December 10, with a third consecutive 25 basis point cut expected.
Probability changes: The current CME FedWatch tool shows the probability of a rate cut exceeding 80% (data from December 3). This is a significant rebound from the 30% low at the end of November, mainly due to the release of employment data and statements from dovish officials.
Interest rate path: If the rate cut occurs as expected, the federal funds rate range will drop to 3.5%-3.75%, and the balance sheet reduction process may end on December 1.
Federal Reserve's October Rate Cut Review #美联储FOMC会议
The Federal Reserve announced a 25 basis point rate cut on October 30, 2025, lowering the target range for the federal funds rate to 3.75%-4.00%. This is the second consecutive rate cut following the one in September, and the fifth rate cut since the beginning of this easing cycle in September 2024.
This rate cut is primarily based on the easing of inflationary pressures (the core inflation growth rate slowed in September) and a significant cooling of the job market (employment growth has slowed this year, and the unemployment rate has slightly increased). The Federal Reserve also announced that it will end balance sheet reduction on December 1.
The impact of this rate cut on the economy is mainly reflected in the following aspects:
1. Stimulating economic growth: Lowering loan rates for businesses and individuals encourages consumption and investment, thereby boosting domestic demand in the United States. 2. Affecting global markets: A weaker dollar typically benefits commodities priced in dollars (such as gold and crude oil) and non-dollar assets, while potentially attracting international capital into emerging markets. 3. Impact on the Chinese economy: Improvement in external demand, increased capital inflows, and creating room for domestic monetary policy easing, which helps boost exports and stabilize financial markets.
$ETH Options Expiration: $4.3 billion worth of Bitcoin and Ethereum options expire, with Ethereum's maximum pain point at $3,100, exacerbating market volatility and downward pressure. High Leverage Risk: Ethereum's leverage ratio has reached a historical high, making the market susceptible to severe price fluctuations and leading to large positions being forcibly liquidated. Macroeconomic Headwinds: The Bank of Japan's anticipated interest rate hikes could negatively impact the overall cryptocurrency market, as previous rate increases have led to significant market declines.
$ZEC Speculative Trading: ZEC has dropped 40% in the last month, and market sentiment is considered to be temporarily excited, indicating high volatility and the risk of further price corrections. Low Usage Metrics: ZEC's daily on-chain transaction volume (8,000 transactions) is far below Monero's (26,000 transactions), suggesting that its actual use cases may not be as strong as the trading volume indicates. Upcoming Resistance: ZEC faces significant resistance in the $450 to $460 range, with previous rebounds having stalled multiple times in this area, triggering short-selling activity. Is anyone coming in to speculate on my bottom?