The ProShares UltraShort Bloomberg Natural Gas ETF (KOLD) surged 6.44% to close at $44.46 on January 7th, as natural gas prices fell sharply by 6.27% to $3.44. The decline in natural gas prices was driven by a combination of factors, including warmer weather forecasts in Europe reducing LNG import needs and severe winter storms in the U.S. boosting domestic demand. Despite the increased demand, the market faced bearish momentum as natural gas prices dropped below the 20-Day moving average, signaling potential further declines. The bearish sentiment was exacerbated by the failure to maintain gains from the previous day, with prices retreating after encountering resistance at $3.74. Analysts are watching key support levels, with a break below $3.33 potentially indicating a deeper correction.