Yi Lihua: Four-Year Cycle Broken – Now the Best Time to Bottom-Fish Crypto

In a recent statement, Liquid Capital founder Yi Lihua declared the traditional four-year Bitcoin cycle obsolete, positioning the current market as the optimal entry point for Ethereum accumulation amid shifting macroeconomic tides.

Yi Lihua, formerly of LD Capital, addressed concerns about his firm's aggressive ETH multi-head strategy in a BlockBeats report dated January 24. He explained that this cycle unfolds under a high-interest-rate environment, where Bitcoin has surpassed previous all-time highs, yet the broader crypto market lags due to unprecedented headwinds. "This has been the toughest phase in the past four years," Yi noted, attributing subdued performance to persistent rate hikes stifling risk assets.

The turning point, according to Yi, arrives with anticipated interest rate cuts, igniting a new bull phase. He predicts Ethereum will outperform Bitcoin, mirroring historical patterns where ETH delivered superior gains during recoveries. This view aligns with on-chain evidence: Liquid Capital's Trend Research recently scooped up 27,598 ETH worth $83 million in a seven-hour spree, bolstering their $1.77 billion ETH treasury as detailed in MEXC analysis. Such institutional conviction underscores ETH's role as a core asset in the evolving on-chain finance era.

Yi emphasizes a disciplined spot buying approach in the $3,000–$3,300 range, advising against leverage amid volatility tied to U.S. equities and regulatory shifts. "Buy in bear markets, sell in bull markets – that's the key," he stated, projecting bullish momentum into 2026 driven by policy easing and blockchain adoption. Recent data supports this: Despite a 40% three-month drawdown, ETH fundamentals remain robust, with ETH ETF inflows forecasted to surge 351% in 2025, potentially doubling its share relative to Bitcoin.

For investors eyeing crypto market cycles in 2025–2026, Yi's thesis challenges outdated narratives. Liquidity dips post-October crashes are normal, especially around holidays, but spot prices now offer "the most suitable investment range" for medium- to long-term holds. This resonates with user concerns over cycle predictability, as DeFi maturation and layer-2 scaling position ETH for outsized returns.

As institutions like Liquid Capital accumulate, retail participants should prioritize secure storage. OneKey hardware wallets excel here, offering air-gapped security and seamless multi-chain support ideal for safeguarding ETH during volatile bottom-fishing opportunities – ensuring your assets remain protected as the bull market unfolds.