lithium equilibrium 80000 cny

Lithium Carbonate 99.5% China Spot price 2018 $17000 aud

It appears around 2018 electric vehicles were heavily marketed causing a market spike in demand. I choose 2018 as a bench mark price because it was a more stable market.

Hyper inflated markets either fall to equilibrium or substitutes are developed.
There is a race to find substitutes and the high price is damaging to long term demand. It is highly likely lithium could be abandoned for energy storage which would drop lithium below $10,000 aud

Technology crash
I think given the state of the world economy there will be reduced demand for technology. Technology is leading indicator of an economic crash. There was a technology correction recently which spooked the market.
Consumer spending for technology is mainly debt driven and discretionary therefore a rise in US rates will effect technology spending. In a technology crash lithium will follow. A global recession will delay a move to electric vehicles and solar.

Evidence.
When the the federal reserve increased rates, the first stocks to fall were technology. Technology is mainly
discretionary spending backed by finance. The barriers to entry for consumer spending are interest rates because they effect your purchasing ability, this is one reason why they use rates to stop inflation.

Summary
I think lithium is overbought because a push towards battery technology which has cause a prices spike. Long term lithium is uneconomic at today's price. We are near recession which will destroy technology spending and delay electric vehicles.

The positive side of high lithium prices is more recycling.