JackYi-Liquid Capital

X (Twitter) plans to launch cryptocurrency trading, with its strategic focus shifting from 'information square' to a 'financial operations platform,' creating a closed loop for price, sentiment, and trading within a single interface. X will become the unified access point for web3, especially as influence becomes monetized, turning X into the world's largest real-time sentiment market. This is a major positive for the crypto industry. Meanwhile, as AI chip and heavy capital investments approach their peak, and with the U.S. stock market continuing to rise and expectations of interest rate cuts, we believe crypto will enter a new bull market in 2026.

Investing is mostly about waiting—more than just timing the bottom correctly, it's about having the patience to hold until the final outcome. Our secondary team released the SOL research report on July 26, 2023, and completed our position around $20. At that time, we strongly believed in the SOL ecosystem and its undervalued potential. However, as news about FTX's OTC share issues kept emerging, we panicked and sold out below $50, perfectly missing the subsequent 15x surge. Investing and trading may seem easy, but the beginning, the process, and the final result are the hardest parts. It's a major test against human nature. Besides those who always talk big and are 'right' about price movements, no one can truly predict how short-term fluctuations will behave or how long the waiting period will be.

ETH's returns in 2025 are not low, with over 3 times potential from 1400 to 4900. We called for buying ETH when it was above 1000, and liquidated around 4500—clear on-chain moves. This time, buying around 3000 remains consistent with our actions. We believe ETH still has significant opportunities in 2026, undeterred by any doubts (there were even more doubts at the previous low). The core idea is that everyone benefits from the trend together. Meanwhile, we will continue building more on the ETH path. To short-sellers, ETH is the best target for shorting, but to ETH longs, let's work together to prove that shorting ETH and the industry is the worst decision possible—just like how Bill's shorting of Tesla turned out.

2026 is the year of financial blockchain integration, with stablecoins and Ethereum being the most important infrastructures. WLFI exchanging BTC for ETH today reflects the same thinking. WLFI's future three paths: first, USD1 will break through 10 billion in the short term, reach trillions in the medium term, and capture a trillion in the long term within the 3 trillion stablecoin market. Second, USD1 will collaborate with millions of active users in Web2 companies, leveraging the significant advantages of stablecoin payments over traditional Visa, bringing billions of users into blockchain and stablecoins. Third, in the future multi-trillion dollar financial blockchain market, USD1 will leverage its brand, compliance, B2B capabilities, and user base to become one of the most critical infrastructures. This is the rationale and logic behind our heavy investment in ETH and WLFI.

Entering the cryptocurrency industry for ten years, I have experienced significant setbacks in both secondary market bubbles and primary investments. It is precisely because of these experiences and the tuition learned that I summarize the true core of the crypto world: constantly enhancing our understanding of investment and trading. Over the past ten months, we have repeatedly emphasized the importance of steadfast trend investing, ignoring short-term fluctuations, being greedy when others are fearful, and being fearful when others are greedy. Recently, the bears are still making their last efforts; they are betting on a four-year cycle, the AI bubble in the US stock market, and a decrease in liquidity at 1011. However, all of this has failed; all their short positions will become fuel for a short squeeze during the rise. In the end, I hope everyone focuses on research in investment and trading, respects all professional investment research analysts, as this is the core business and right path we need to focus on. We will also closely follow true experts and continue to strive for learning and improvement.

Adhere to trend investing, a very simple logic: buy when you are optimistic about a bull market, sell when you are optimistic about a bear market, be greedy when others are fearful; you can never buy at the lowest point, nor can you sell at the highest point. We do not intentionally act high-profile or low-profile, we simply share our understanding and operations, and there is no competitive relationship with everyone; winning or losing is determined by the market, and at the same time, this process brings self-growth ➕ witnessing the journey ➕ connecting with peers.

Investors like Buffett and Duan Yongping are respected because they earn money through value and trends, rather than through speculation. This year, the trend is a bull market; whether in the macro environment or the stage of industry development, this is not something we can decide together. We can only see the trend and follow it. During this time, I have seen bears making their last efforts, but as we mentioned before, before the great bull market of 26 years, bears would have already closed their positions with small losses, and closing later would lead to significant and severe losses. Those who are still bearish in the market now are either just talking or are cannon fodder. After experiencing more than a month of fluctuations (bull-bear games), the bulls will definitely be victorious, pessimists are always right, and optimists always move forward.

1 billion dollars will continue to buy on dips; under the trend of a 26-year bull market, the opportunity lies with the bulls rather than the bears. In the cryptocurrency world, there has always been one thing: buy in a bear market and sell in a bull market.

Consistency between words and actions continues to increase ETH holdings. Since the 1011 incident, which caused a drop to around 3000, we are the largest ETH bulls in the industry (BNNR is a fixed investment method). Firstly, we are optimistic about the bull market in 2026, especially in the first quarter, where it is difficult to concentrate large positions at the lowest point, so we are not worried about fluctuations of a few hundred dollars. Secondly, the shorts in the industry are overly exaggerated, the ETH contract holdings continue to hit new highs, and have become a major price-driving factor. The contract holdings on some platforms are several times the spot inventory. Finally, 2026 is also a favorable environment for financial on-chain, stablecoins, interest rate cuts, and comprehensive crypto policies. We will continue to buy until the bull market arrives, with maximum holdings in ETH, heavy positions in WLFI, and allocations in BTC/BCH/BNB. Wishing everyone a happy New Year in advance, with abundant harvests in 2026.

Wishing everyone a Merry Christmas. Floating losses are only temporary, while the long-term trend is bullish. First, we bought the dip this year, then escaped the peak before 1011, and now we are buying the dip again. We are transparent and consistent in our words and actions. Secondly, we are not blindly confident in large-scale buying just because our previous operations were correct. Our team works hard every day on investment research results, which indicate that now is the bottom range, and 2026 will see a major bull market. Finally, the same old saying applies: we do not want to miss out on a chance for a several thousand dollar increase due to fluctuations of a few hundred dollars. We will continue to buy ETH at lower prices with 1 billion USD.

I announce that Trend Research is preparing another 1 billion USD, and on this basis, we will continue to increase our buy of ETH. We practice what we preach and strongly advise against shorting; there is no doubt this will be a historic opportunity.

Firmly believe that now is the best time to buy ETH, especially looking forward to the bull market in 2026, with a future target of over 10,000 for ETH. I remember experiencing the 312 crash; before 312, when BTC was hovering around 7,000 to 8,000 dollars, I experienced my first real bear market in the cryptocurrency world, and I couldn't hold on any longer and sold all my BTC, successfully avoiding the massive drop during 312. However, it later surged to 69,000, and I never bought back BTC. This is a huge failure case of missing out on tens of thousands because of a few thousand dollars. This time, a similar script played out; I successfully escaped the peak and cleared my position before 1011, but this time we chose to continuously increase our holdings because we don't want to make the mistake of losing thousands over a few hundred dollars. Trend investing and patiently waiting is the best strategy now; we know that a significant rise is inevitable, we just don't know what day it will happen.

After Japan's interest rate hike, this is the last major bad news out, and the fluctuations in recent days are also driven by contracts, especially since the shorts are still making their final efforts. However, in the face of the upcoming bull market trend, these are all short-term behaviors. For investment rather than trading, it is still the best spot investment zone now. Next year, the cryptocurrency industry will see significant positive developments, especially in cryptocurrency policies, interest rate cuts, and financial on-chain—these three decisive factors. If you want to achieve returns of several thousand dollars, you must endure fluctuations of several hundred dollars; the winners in the financial market must first overcome human weaknesses.

The fundamentals of ETH remain optimistic, but since the major crash on 1011, market liquidity has significantly decreased. The derivatives market is dominant rather than the spot market. The current fluctuations are within a normal range, especially with the resonance of the four-year cycle and the approach of Christmas. However, for spot investments, buying at the lowest price is not necessarily the most suitable investment price zone. From a medium to long-term investment perspective, especially in the new era of on-chain finance, ETH is the core investment asset, with WLFI and others as core allocation investments. Our investment and data logic have not changed from previous research reports.

The decline is limited, while the rise is unlimited. The core of investment is to control risk and measure the profit-loss ratio. Recently, large whales have been continuously buying $ETH, and I still believe that now is the best time to buy in the spot market.

Recently, I advised large investors to increase their positions in $ETH on the HK line, while also suggesting to buy in the spot market and then withdraw to exchanges, especially second-tier or smaller platforms, to reduce more opportunities for short selling.

USD1 has made significant progress today, congratulations to the WLFI team @WatcherChase @ZachWitkoff @zakfolkman. I believe that in the trend of financial blockchain, the two biggest beneficiaries are stablecoins and ETH, and USD1 is the only project with the chance to surpass them and take the lead in the trillion-dollar stablecoin market and the financial chain service for billions of people. Your execution and strategic capabilities fully meet investors' expectations, and I am pleased to heavily invest in such a team and project.
We will hold WLFI and ETH as long-term investments, as they are the two largest investment assets.

$ETH broke 3300, maintaining a positive outlook on the subsequent market since being fully invested, and sharing that investment requires patience. Remember to buy the dip in April/May and to cash out before 1011, facing a lot of doubts. However, investing is always the hardest thing; it tests not only your mindset but also your understanding. Be greedy when others are fearful; it's easy to say but the hardest to do.

For trend and value investing, short-term volatility can be ignored. Investing in ETH should focus on the intrinsic value of ETH and the long-term development of the industry, rather than being led by the market's short-term fluctuations. This is the reason we continuously synchronize research reports. However, very few people can achieve this, as investing is not gambling or speculation; otherwise, it is difficult to obtain long-term substantial returns. Of course, special attention should also be paid to the bottoms and tops of long segments, and striving to earn more ETH is another way to increase positions.

After the Ethereum Fusaka upgrade, the blob base fee surged by 15 million times. The core reason is the new blob fee 'minimum guarantee mechanism' introduced by EIP-7918 - previously, blob fees had no minimum limit, often stuck at 1 wei (almost free), causing nodes to bear costs like KZG verification without reasonable returns; after the upgrade, the blob fee must be ≥ 1/15.258 of the L1 execution base fee, directly anchoring to the true network cost.

This design allows prices to reflect actual resource consumption (avoiding L2's free occupation of network resources), while also adjusting blob traffic through price fluctuations to prevent congestion. At the same time, PeerDAS technology has increased the blob storage capacity; in addition, blob fees are included in the ETH destruction mechanism, with estimates indicating that it could burn 8 times more ETH in the future, potentially contributing 30-50% of the total burn amount by 2026 (depending on L2 transaction volume growth).

Collaboration between L1 and L2 will also deepen, as this directly correlates L2 costs with the L1 base fee, encouraging L2 to pay more attention to the L1 network status and promoting ecological collaborative optimization.

Comparison table of key parameters for blob fees before and after the Ethereum Fusaka upgrade: