Recently, the market's performance of Ethereum has sparked intense discussions. As soon as the golden cross pattern signal appeared, the market split into two factions—one side believes this is an excellent entry opportunity, while the other side remains cautious. A well-known industry analyst frankly stated: "It is very difficult to break through the 3100 level, retail investors must not chase the price," and even pointed out that this golden cross pattern may carry a bull trap risk.

For retail investors, the key question boils down to one point: how to identify the authenticity of a golden cross pattern and avoid becoming a bag holder?

First, let's understand what a golden cross pattern is. Technically, a golden cross pattern refers to the short-term moving average breaking above the long-term average, which is usually seen as a bullish signal. It sounds simple, but reality is much more complex. In a choppy consolidation or unclear trend, "false golden crosses" frequently occur—prices not only fail to rise after the golden cross forms but instead plummet quickly, trapping those retail investors who followed the trend. This time, the situation with ETH occurred against such a market backdrop, which is a breeding ground for bull traps.

Why is it said that this may be a trap? There are several points worth noting. First, let's look at the trading volume—this is key. On the day of the ETH golden cross pattern and in the subsequent trading days, the trading volume did not increase but instead shrank. This is very dangerous because a price trend reversal must be supported by sufficient volume. Without enough funds flowing in, it cannot be sustained by technical patterns alone. Insufficient volume makes it difficult for the price to achieve an effective breakthrough, which is basic market knowledge.