Who can explain what kind of operation this is? Recently, I was watching the ADA market replay, and I was truly baffled. On one side, a certain leading exchange's retail army is "fighting to the death" to buy the dip, with 69% of people rushing in together, shouting "The opportunity has come"; on the other side, Kraken's institutional whales are 70.7% short positions, and they use a 346x liquidation ratio to directly "crush" the longs. This is not a market; it's a tailored harvesting show for retail investors.

Here's what happened. A few days ago, ADA suddenly signaled "a significant increase in on-chain activity." A bunch of retail investors saw this news and immediately lit up, thinking the bottom signal was confirmed, and rushed into a certain exchange to buy the dip frantically. Before they could even profit, negative news about "major funds withdrawing significantly" came out, and the price plummeted in the opposite direction. The most disgusting part is that just as retail investors are gritting their teeth and insisting that "a pullback is a golden entry point," the institutions' short positions have already quietly been waiting to harvest. The data shows that within 12 hours, the liquidation volume of long positions is 346 times that of short positions. In other words, most of the follow-along retail investors are getting liquidated directly, losing everything.

To be blunt, retail investors never make mistakes when falling into traps. Here, we need to talk about the most common "funding divergence trap" in the crypto market. Institutions are very clear about how retail investors think—chasing gains and cutting losses is in their nature. So their routine is to first lure retail investors in with some positive news, then release negative news through the media once the retail positions are concentrated, and quietly set up short positions when retail investors panic and start to sell. By the time retail investors realize they've been tricked, liquidation has already become an established fact.