Hey guys,
Nothing can replace bitcoin, but the underlying narrative for ETH seems to be shifting from one of speculation to one of store of value (gold). I would expect a nice, long breakout over the next year or so from this multi year accumulation. Bounced right back after the sell off this week. Nothing but wicks on the ethusd chart. The network burned 350,000+ eth totaling $1.4 billion in the last month alone due to the newly implemented London hard fork. I think people are anticipating that with ETH 2.0 scaling upgrades coming 2022 (1000s of t/s per second, low gas fees), the network will see a lot more volume (not just whales). This will allow Defi protocols that are reliant on eth gas to reach a broader audience (retail investors that want to drop 1k worth of CRV in convex and not have the rewards eroded by eth gas fees.) Lower supply equals higher prices.. deflationary asset but also keep in mind it's 20x'd already this year. I thought it was overheated at 1600 but here we are.
DYOR, not a financial advisor.
Nothing can replace bitcoin, but the underlying narrative for ETH seems to be shifting from one of speculation to one of store of value (gold). I would expect a nice, long breakout over the next year or so from this multi year accumulation. Bounced right back after the sell off this week. Nothing but wicks on the ethusd chart. The network burned 350,000+ eth totaling $1.4 billion in the last month alone due to the newly implemented London hard fork. I think people are anticipating that with ETH 2.0 scaling upgrades coming 2022 (1000s of t/s per second, low gas fees), the network will see a lot more volume (not just whales). This will allow Defi protocols that are reliant on eth gas to reach a broader audience (retail investors that want to drop 1k worth of CRV in convex and not have the rewards eroded by eth gas fees.) Lower supply equals higher prices.. deflationary asset but also keep in mind it's 20x'd already this year. I thought it was overheated at 1600 but here we are.
DYOR, not a financial advisor.