Time and time again we've seen event-based trading in crypto go badly.

Ethereum is now down 5% in a quick fall as the post-merge glow fades.


What's happening here?

It's the same as all the other events. Unsophisticated traders are lured in by the promise of easy money and it gets frontrun. When the event doesn't result in easy gains, it's a rush to the exits.

I certainly cheer on less energy use in ethereum and that should be a long-term fundamental driver but long-term fundamental drivers play out in the long term, not overnight.

I warned about how this would unfold yesterday and I'm worried about the technical implications of a fall below the $1450-$1350 zone.