Crypto Bear Phase Ending with Regulatory and Market Shifts

Yi Lihua of Liquid Capital emphasized optimism in a social media post, noting potential recovery in the crypto market amid favorable U.S. regulatory shifts and macroeconomic conditions.

This signals a potential end to the recent bear market, echoing historical patterns and potentially enhancing investor confidence in key assets like Bitcoin and Ethereum.

U.S. Leadership Changes Boost Crypto Market Outlook

Yi Lihua, founder of Liquid Capital, published on social media predicting an end to the 60-day crypto bear market. He cited regulatory changes, including new leadership at the U.S. Federal Reserve, boosting optimism in the crypto sector.

The expected interest rate cuts and a crypto-friendly policy environment are anticipated to restore liquidity. Despite Ethereum lagging, Yi maintains a portfolio strategy of strategic allocation across major assets.

Yi Lihua, Founder, Liquid Capital, “Although BTC has returned to $93,000, BCH has hit a recent high, WLFI has surged and stabilized, but ETH is still lagging… With another crypto-friendly new chairman (Federal Reserve) confirmed after the SEC chairman, the 60-day crypto bear market may be coming to an end… investment requires wisdom and patience.”

Bitcoin Surges Amid Regulatory and Market Dynamics

Did you know? The December 2018 bear market exhibited similar liquidity issues, which led to significant Bitcoin rebounds, marking historical upswings known as “Santa Claus Rally.”

As of December 3, 2025, Bitcoin (BTC) was trading at $93,425.34, with a market cap of 1,864.48 billion. BTC’s 24-hour trading volume increased by 8.23%, as reported by CoinMarketCap, despite a 60-day drop of 23.75%.

The Coincu research team observes that despite recent volatility, long-term investment trends remain bullish. Regulatory policies are likely to shape the market, potentially leading to a sustained recovery phase in key crypto assets.