Brothers, the market has given us another lesson! Last night Bitcoin was still dragging its feet, but Ethereum seemed to be equipped with a rocket, soaring nearly 200 points overnight, with the price shooting above $3200. Old Chen's hint from yesterday has once again proven true.

This wave of strong attacks is not complicated: the powder of good news has piled up, just waiting for a fuse. Last night this fuse was ignited - the expectation of the Federal Reserve lowering interest rates is getting hotter, and the market is betting that the tap will soon be turned on, with money flowing rapidly into high-risk assets. Coupled with the mountain of debt in the United States, concerns about money losing its value are forcing smart money to seek new exits. Moreover, Ethereum's own Fusaka upgrade is like giving this world computer a stronger engine, making its long-term value more stable. With favorable timing and conditions, if it doesn’t rise, who will?

The price has surged to $3200; can we short now? Old Chen's answer is one word: foolish!

Seeing it has reached $3200, many brothers are itching to act, wondering: It has risen so sharply, doesn't it need to correct? Can we short to grab some profits from a pullback?

Old Chen is laying it down today: Going against the trend to short at this critical moment is like trying to catch a flying knife falling from the sky—extremely risky and likely to get hurt.

The rise in the crypto world, especially after breaking key positions, has one core logic: speculative expectations. All good news, from technical upgrades to macro liquidity, is pouring oil onto this fire. When the fire is roaring, how low is the chance of guessing when it will go out based on feeling? History has repeatedly proven that in a strong upward trend, any attempt to call a top can be slapped in the face by continuously hitting new highs.

The big shots on Wall Street have already voted with their actions. Famous analyst Tom Lee from Fundstrat is not just bullish in words; he directly invested $150 million in ETH. What does this signal? This is a genuine vote of confidence backed by real money, with institutions continuously accumulating. Don't they know the price is high? They are looking at a much longer-term future. Once market sentiment is ignited, prices often soar to levels that make you question life.

On-chain data does not lie: Whales are gobbling up.

Just talking about emotions may seem empty to you, let's look at the hard data on the blockchain:

Whales continue to buy: In addition to Tom Lee mentioned earlier, associated wallets have recently shown large buy records. The movements of this smart money are often leading indicators of the market.

Network activity skyrocketed: According to the latest on-chain data, the number of active addresses on the Ethereum network increased by 8.7% in the past week, ranking first among all major public chains. This means that more people are using ETH for trading and playing DeFi on Ethereum, indicating very solid underlying demand.

Reversal of capital flow: Data shows that on December 3rd, Ethereum ended its continuous capital outflow, achieving a net inflow of approximately $62 million in a single day. This indicates that buying power is genuinely returning.

All this data points to one fact: The market's heat is real, and the inflow of capital is continuous. The hype stories are being supported by tangible on-chain activities and institutional purchases.

Today's direction: Firmly bullish, go with the trend.

Taking all of the above into account, Old Chen's view on today and the future market is very clear: continue to be bullish, primarily seeking opportunities on dips, and do not easily short.

The core logic is very clear:

Macroeconomic warming: The expectation of a shift in the Federal Reserve's policy is currently the biggest driving force in the market, and this breeze has not stopped yet.

Technical breakthrough: ETH has strongly broken through the previous key resistance level of $3100, opening up new upward space.

Strong fundamentals: The long-term benefits of network upgrades combined with active on-chain ecology constitute a solid foundation for ETH.

Capital support: The purchases by institutional whales and net capital inflows provide direct fuel for the rise.

In terms of operations, you can pay attention to:

You can consider the breakout area of $3150-$3200 as a new support reference. If the price falls back to this level and shows signs of stabilization, you can consider gradually building a position. The core idea is to get in, not to pick up cheap.

Remember: In an upward trend, any opportunity to retrace without breaking support could be a good time to get back in, rather than a reason to short.

Summary

The current trend of Ethereum is the result of a triple resonance of macro liquidity expectations, favorable technical upgrades, and institutional capital inflows. Since the fire has already been ignited, what we need to do is not to douse it with cold water, but to think about how to safely harness its energy.

There are no gods in the crypto world, only smart people who can read signals. Old Chen's articles do not boast or paint a rosy picture; they only teach you practical survival skills. Follow Old Chen for daily strategies to get in early.