The recent crypto market has experienced an extreme event, with a major privacy coin showing a rollercoaster performance within just 24 hours, sparking widespread discussions about market risks.

According to trading data, this token surged by 203% in one day, reaching a peak price of $7,551, with a trading volume exceeding 15.61 million USDT. It seemed like a celebration of wealth, but the subsequent movement was even more intriguing—the price plummeted rapidly to $281, leaving a typical long upper shadow. From $20 to $7,551 and then back down to $280, such fluctuations are truly shocking.

From a technical perspective, the logic behind this wave of market movement is quite clear. First, there was a massive push-up, usually dominated by large funds; then a quick pullback, indicating organized selling at high levels. The current price has fallen over 96% from its peak, meaning that participants who entered at over $7,000 are now experiencing unrealized losses approaching 99%.

Such extreme volatility is not new in the crypto market, but each time it attracts a large number of retail investors. The problem is that when you see this kind of movement, it’s often already the stage where the big players are offloading their positions. The real opportunity is usually missed before others even realize what’s happening.

Regarding this kind of trend, we need to stay rational. High risk and high reward are often two sides of the same coin. Those who can survive long-term in this market are usually not the ones chasing the highs, but those who understand risk management and can remain calm in their judgment. The crypto market is never short of opportunities, but often the difference between opportunity and trap is just one decision away.