Liquid Capital Founder Shares Insights on Cryptocurrency Investment Strategies

Yi Lihua, founder of Liquid Capital, recently shared his perspectives on cryptocurrency investment strategies in a discussion on the X platform (formerly Twitter). He addressed queries about market timing, highlighting that predicting both peaks and troughs is not as straightforward as it appears. Drawing from his experience with Ethereum (ETH), Lihua recounts his buying decisions during its dips. For instance, when ETH reached $1,800, he began accumulating positions, but the price continued to decline until reaching $1,350, causing concern. A subsequent rebound to $1,450 prompted further analysis, with reports at $1,750. When ETH surpassed $2,700, a geopolitical event in the Middle East caused a correction down to $2,100, leading to much discussion about Lihua’s strategies. He mentioned reducing leverage too early when ETH hit $3,000 and selling holdings around $4,500 instead of holding out for $4,900. Notably, he stressed that while achieving absolute accuracy in timing the market is unlikely, consistently identifying the right trend can mitigate significant risk. Finally, Lihua concludes by emphasizing the cyclical nature of cryptocurrency markets, advising readers to consider buying as preparation for selling and vice-versa.