Liquid Capital's Yi Lihua: Ethereum (ETH) 'Severely Undervalued' for Long-Term Hold Amid Strong Macro & On-Chain Catalysts

On Dec. 10, Yi Lihua, founder of Liquid Capital (formerly LD Capital), recently issued a statement asserting Ethereum (ETH) is 'severely undervalued' for long-term spot investments, emphasizing that minor price fluctuations are insignificant over such horizons.Lihua's bullish conviction stems from a dual perspective. Macroeconomically, he cites anticipated interest rate cuts, broader monetary easing, and an evolving landscape of crypto-friendly policies. Industrially, he highlights the robust growth of stablecoins and the accelerating tokenization of financial assets migrating on-chain, contending these factors have fundamentally transformed Ethereum's value proposition. These catalysts also inform his high-conviction allocations in other digital assets. He commits to a long-term strategy: 'Once fully allocated, the rest is entrusted to time; I will not engage in short-term swing trading.'Finally, Lihua cautioned against leveraged derivatives (contract trading). He argued that spot market volatility is already substantial, making additional leverage perilous. He cited two reasons: most individuals lack the professional technical skills and psychological fortitude required, and contract trading is a high-stakes game where the vast majority lose, diverting energy better spent on off-exchange business ventures.