Liquid Capital Founder Jack Yi Warns of Five Crises in the Crypto Industry
Jack Yi, founder of Liquid Capital, posted that the crypto industry is facing its most panicked phase, warning that buying Bitcoin at high prices may encounter a final round of major liquidation, urging investors to patiently wait for bottom-buying opportunities.
Jack Yi pointed out that the essence of investment is to restrain greed and control panic, listing five major crises: young people are no longer interested, traditional funds are mainly flowing to AI, crypto narratives are continuously being debunked, celebrities are cashing out, and industry leaders lack innovation and building.
Retail investors and holders in the market are selling due to panic, and Jack Yi is guiding rational capital allocation through public warnings, benefiting long-term value investors and bottom-buyers while high-leverage holders are under pressure. Capital is shifting from emotion-driven speculation to the intersection of AI and crypto.
Source: Public Information
ABAB AI Insight
Jack Yi, as the founder of Liquid Capital, has previously shared risk management views publicly during crypto market cycles, emphasizing "restraining greed" at the bottom of the 2022 bear market. This summary of five major crises continues his long-term observation of industry narrative fatigue and capital competition.
In terms of capital pathways, Jack Yi transforms industry observations into public signals, guiding the capital he manages and community funds to avoid chasing high prices and instead wait for valuation resets. The motivation is to reduce drawdowns by controlling panic while accumulating low-cost entry chips for subsequent quality projects, forming a path from cycle warnings to capital reallocation.
Similar to the "crypto winter" narrative after the 2022 Terra/Luna collapse and the exit of celebrities after the 2018 ICO bubble burst, Jack Yi currently places the crypto industry in a transitional pain phase competing for resources and attention with AI, where the lack of building among leaders is accelerating narrative bankruptcy.
Structural judgment: Essentially, this belongs to capital concentration. High returns from AI attract traditional funds and young talent, leading to a dual loss of attention and capital in the crypto industry. The mechanism is the crowding-out effect of high-certainty tracks (AI) over uncertain tracks (crypto) under resource scarcity, forcing remaining capital to concentrate on projects that truly build rather than continuing to tell old stories.
ABAB News · Law of Cognition
Greed drives high positions, panic creates bottom positions.
The older the story, the more capital runs.
When AI is sucking resources, crypto needs to truly build.