I will supplement Dena's very keen observations by saying my higher-quality wool stuff, like my Smartwool layers, have had the crap beaten out of them. I use regular detergent, regular wash cycle, high-heat drying. Nothing different when it comes out except maybe some lint if I forgot to empty the trap.
My Stoic merino t-shirt, however, shredded when it got grabbed by accident. I won't buy Merino from Stoic, just because I think the quality is lower (same with the price, though)