Yi Lihua's ETH holdings update: From bullish to liquidated positions, rumors of losses and suspicions of "shorting".

Key findings : Liquid Capital founder Yi Lihua recently publicly expressed a bullish view on ETH (considering prices below $2,000 as a buy the dips opportunity), but on-chain data shows that he liquidated his ETH holdings worth approximately $1.354 billion in just eight days around February 8, 2026, triggering a wave of long liquidations. Combined with the sharp drop in ETH prices from their peak and the overall risk-off sentiment in the market, rumors circulate that he lost nearly $700 million and may have shifted to short("bearish"), but there is a lack of conclusive on-chain evidence to prove the specific amount of the loss or the current short position. Similar cases involving publicly traded ETH companies such as Bitmine (with a floating loss of $7.885 billion) and Sharplink (with a net loss of $734 million in 2025) amplify the pressure on individual investors. PANews X Ai姨X

This shift reflects the macroeconomic backdrop of tightening liquidity in the crypto market and rising demand for directional short positions: net long and net short positions in perpetual contracts are nearly equal, and Ethena's deployed capital has fallen to a historic low of 71%. Yi Lihua's liquidation occurred just as ETH fell below the $2000 mark, and the disconnect between short-term buy the dips rhetoric and actual operations may stem from failed long against the trend. (Odaily News)

Yi Lihua's background and the evolution of his views on ETH

Yi Lihua, founder of Liquid Capital, is a well-known crypto investor who has shared his insights on cycle theory and AI narratives on numerous occasions. His recent public statements still lean towards a bullish stance on ETH.

• March 10, 2026 : An article stated that "ETH has a high probability of success in both short-term and long-term trading below $2000, and according to cyclical theory, this year is also a major bottoming period." It also expressed optimism about AI reshaping the crypto landscape and the value of stablecoins in AI payments, but cautioned that teams in the primary market face the greatest risks. PANews X Annie X

However, actual operation revealed a contrast:

• Around February 8, 2026 : $1.354 billion worth of ETH were liquidated within 8 days, causing a short-term trough in OI (Open Interest) and a wave of long liquidations. The number of active Hyperliquid contract traders increased, with more leveraged "gamblers" appearing, highlighting a shift in the market from bullish dominance to a short squeeze. (AiYiX)

Analysis Logic : The timing of the liquidation coincides with ETH's pullback from its peak (currently around $1965, Bitmine staking price). If the average cost price is higher than the market price (e.g., Bitmine at $3735), losses will be amplified. The rumored "loss of nearly 700 million" may stem from Sharplink's 734 million net loss in 2025 (ETH holdings of 868k tokens, including unrealized losses of 616 million), but without precise holding data from Yi Lihua, accurate calculations are impossible. The market interprets this as "going against the trend by long inevitably lead to liquidation sooner or later." (Bitcoin X Odaily News)

ETH Market Environment: Rise of Short Sellers and Treasury Pressure

ETH is currently hovering below $2,000, with a 24-hour increase of only 0.85%-3.47% (depending on the source), ranking at the bottom of the CEX hot list. The perpetual contract structure shows a rare "net long ≈ net short" pattern, with Ethena basis short positions shrinking by 75%, indicating a surge in directional short positions/hedging demand (VC/project hedging unlocking). (Odaily News )

ETH Treasury Listed Company Loss Statement (Similar to Yilihua's Pressure):

Data limitations : There is no precise entry price/holding amount for Yi Lihua; the 700 million loss is a market rumor (possibly a Sharplink mapping); Dune lacks an ETH dashboard, making it impossible to verify on-chain details; Twitter data is subjective and unofficial. Current time is 2026-03-13; news/tweets are fresh (<4 days), but OI/liquidation data is from February, so be wary of recent changes.

Risks and Outlook: High probability of shifting to short selling, but on-chain confirmation is required.

Why is it suspected that he has "switched to the Air Force" ?

• ETH continued to fall after the sell-off, and the bullish comments may be a cover-up (Professor Su's morning report mentioned that ETH breaking 2000 was "pathetic and lamentable"). Professor Su X
• Market risk-off: BTC breaks 69,000, SOL approaches 80, crude oil/US stock volatility suppresses crypto; Hyperliquid retail leverage increases, Yi Lihua may turn to shorting for profit.
• Similar cases: VCs/project teams crowd into short a basket of assets (BTC/ETH), squeezing out basis trading.

Outlook for short ETH :

Investment Perspective : Short-term ETH bearish sentiment dominates; if Yi Lihua truly turns bearish, the bearish narrative could be amplified. However, the long-term value of AI + stablecoins is emerging (Yi Lihua's view), and buy the dips requires a break in the balance between bulls and bears. Recommendation : Monitor Hyperliquid OI/active traders (currently a high-leverage haven), avoid chasing highs; do not blindly follow trades if data is insufficient.

Data transparency : The report is based solely on provided news/Twitter information, without additional tools to verify on-chain addresses/confirmation of losses. The rumored "700 million loss" has not been verified and may be exaggerated; the empty Dune result limits on-chain depth. For greater accuracy, it is recommended to track the Yilihua wallet.