Yi Lihua: ETH is safe above $1000. With sufficient preparation, there's no need to worry about position safety.

PANews reported on January 24 that Liquid Capital founder Yi Lihua has responded to some questions on the X platform, stating:

1. Why is the price of ETH lower than the previous peak of 50, while the price of BTC is higher than the previous peak by nearly 40%? Why is it not logical to be fully invested in ETH? First of all, this round is in an interest rate hike cycle. Apart from BTC breaking new highs, the performance of other cryptocurrencies has been unsatisfactory. These are the most difficult four years for crypto. However, we believe that with the upcoming interest rate cut cycle, we will usher in a crypto bull market. Moreover, the increase of ETH will outperform BTC. In addition, in the past, several bull markets have seen ETH outperform BTC.

2. Given the 4-year cycle pattern, isn't the recent ETH bottom-fishing opportunity around $3000, after months of consolidation, aren't you worried about the bear market continuing to fall, as some have suggested? We believe that with the DAT model, interest rate cuts, crypto policies, and the globalization of stablecoins, the 4-year cycle pattern has become ineffective. Now is the best time to buy crypto, especially ETH. ETH will be the biggest beneficiary of this bull market. In the previous round of ETH weakness, there weren't many applications or opportunities. However, with the continued support of US Treasury bonds, the only sustainable opportunity lies in stablecoins, which offer dozens of times the growth potential. There's also the opportunity for trillions of dollars in assets to be put into on-chain financial services, and ETH is the biggest beneficiary and ecosystem carrier in this regard.

3. Some people are concerned about the safety of their positions, especially since our ETH positions involve lending, which is essentially leverage. They worry about potential risks if the price drops. There's no need to worry. We are fully prepared and can repay most of our borrowed positions at any time. We've calculated that ETH is absolutely safe above $1000. So, there's no need to worry; it's just that each institution has different operational strategies.

4. If we don't buy in large quantities here, won't there be a better price to buy at the bottom? Why are we in such a hurry to buy at the bottom? We don't have God's perspective, we don't know when the bottom is, and it's impossible to accurately buy at the lowest point. Just like in the last round when Bitcoin was below $20,000, was there any difference between buying BTC at $15,000 and buying BTC at $20,000? I believe there wasn't. For us, the key is that this area is the bottom, and even if we don't buy, the market will buy. Our size can't affect the trend.

5. What do you think of those KOLs who are bearish but may not have large positions, yet they constantly criticize us bulls or try to gain attention? The market is always in balance; there will always be both bullish and bearish positions. Every opinion is valid, and we don't judge based on position size. We will carefully observe and learn from any objective and logical viewpoint. However, we ignore those who use extremely low methods to gain exposure, as they are truly worthless. Especially those KOLs who promote projects and then disappear—I guess everyone has their own survival strategy.

6. Most OGs have retired from the scene, yet you've been frequently updating Twitter this year, constantly advocating for ETH, and even sold at $4,500. Was this to encourage more people to buy in, or are you genuinely bullish on ETH? We firmly believe in the long-term value growth of ETH, and our actions have always been consistent. The only time we liquidated at $4,500 was because our analysis revealed significant short-term risks, and our operations were transparent on-chain, visible to everyone. You can use this as a reference for your own judgment. Selling was to buy more ETH; anyone with the opportunity to profit from large price swings would choose this strategy to earn more ETH. There was absolutely no intention to encourage others to buy in. ETH is a $360 billion asset; even though we are one of the world's largest ETH investors, we cannot influence its trend. We are simply following the trend; its price will rise regardless of our presence.