WLFI Surges 50% on USD1 Stablecoin Optimism as ETH Short-Squeeze Bets Grow in a Rebounding Market

COINOTAG News reports that Daniel Wang, founder of Liquid Capital (formerly LD Capital), shared on social media that WLFI has surged roughly 50% in recent sessions. He attributes the move to optimism around the USD1 stablecoin tracking mechanism, ongoing WLFI buybacks, and a broader rebound in risk assets and US equities. The note frames WLFI as a catalyst within a recovering crypto market, highlighting liquidity and policy tailwinds.

According to Wang’s data review, ETH has faced notable short interest across multiple platforms and institutions. He suggests that after a difficult November, a short-covering phase could unfold if macro momentum persists. He compares the present setting with four years ago, pointing to a more favorable ecosystem—stablecoins, ETFs, DeFi and supportive policy—that may justify a reassessment of ETH’s valuation, albeit with disciplined risk management and credible data as guiding principles.