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This isn't an either/or situation, he doesn't have to be ******ed and playing 72o here or trapping with the nuts, he most likely has a speculative/implied odds type of hand like you do here and is trying to see the flop as cheaply as possible.
This is an accurate observation, and if villain has, say, half the stack he has in the OP, it's a much different situation. Your analysis of his range is solid, but given the newfound propensity for people to limp AA/KK pre, and also for someone with such a huge stack to shrug and say "he must be restealing," and call... suddenly i find myself all-in against a hand that has me crushed, or I could be in against a 40/60 or 60/40 that I will probably lose because I run worse than the no-legged man in a foot race.
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Eh, 5:1 immediate odds, little cards with big potential, healthy stack, I'm completing here. It's really only half a limp-fold, with a very low chance of being raised before seeing the flop.
On an A high flop, I lose all my chips to A8-AJ, all of which fit neatly into a bad player's range. What am I really hoping for here, a 7 high flop with two clubs? I just don't think this is a "little cards with big potential" hand; I would much rather be in this spot with QJc. I am folding every flop that I'm not a huge favorite on, and villains fold every flop that is good for me. A7 is in bad trouble when it hits, unless it's an A high flop with two other clubs. It just reeks of a terrible postflop spot against an enormous stack that is probably already playing loose.