GM and welcome to The Crypto Nutshell! 🫶 🥜 

The crypto newsletter that won't pivot your portfolio quite like Ross tried to pivot his couch...🛋️🔄

Today, we’ll discuss:

• Recapping the last 24 hours in the world of crypto 🌏

• Mark Yusko: 3 reasons to invest in crypto 🤑

• What is the Bitcoin MVRV ratio? 🤷‍♂️

• And more…

MARKET WATCH ⚖️

BTC Dominance is currently at 49.99% and the current crypto market cap is $1.17T ▼1.96%

Biggest Winners of The Day 🤑

• Dogecoin (DOGE) ▲3.53%

Biggest Losers of The Day 😭

• Toncoin (TON) ▼7.33%

• XRP (XRP) ▼5.66%

• Chainlink (LINK) ▼4.91%

Only the top 20 coins measured by market cap feature in this section

Twitter has rebranded to X.com.

Why are we telling you this?

Well…meme coin makers took advantage of this and launched ‘X’ token.

The initial 4 hours saw the coin grow by 500%, but as the breaking news of the twitter rebrand started circulating, the market went into a frenzy.

The price peaked at $0.58, an increase of 4,300% from the launch price of $0.0135.

But… then it all came crumbling down, dropping in value by 78%…

Congratulations to anyone who got in and out with a huge bag to show for it.

Just goes to show that the crypto market still has these crazy meme tokens that explode out of nowhere.

All price data as of 7:10am ET

EXPERT OF THE DAY - MARK YUSKO ⛵

Today - a quick story from history for all you nutcases. 👴

The year is 1903. The head of the Michigan Savings Bank writes to Henry Ford’s lawyer. “The horse is here to stay but the automobile is only a novelty - a fad.”

He was advising Ford’s lawyer - Horace Rackham - to not invest in the Ford Motor Company.

Okay but what’s the point?

Throughout history, time and time again, innovation is dismissed and shunned.

However…

Those brave enough to go against the grain & embrace new technology?

They enjoy spectacular returns. 🤑

That was the key message out from Hedge fund manager Mark Yusko at a keynote he did at Ave Maria University last month.

Yusko is convinced - having zero exposure to Bitcoin, Ethereum or any digital asset is a mistake. He had 3 main points on why investors need to turn their attention to Crypto NOW.

1. $37 Trillion dollars is going to flow from the boomers to the younger generations over the next 10-20 years. What will generations like Millennials and Gen Z do with all the capital flow? It definitely won’t be investing in bonds or gold, but rather Mark agues a big chunk of that capital will find a home in crypto & digital assets

2. Every single fiat currency in the history of humans has eventually collapsed and gone to zero. Yusko argues that this time is no different and just the devaluation of the dollar ALONE will drive bitcoin and crypto prices higher over time

3. Yusko argues that crypto is currently still only at the early stage of the adoption cycle, with it only at 2% of its addressable market. He believes that over the next 10 years, it could easily do a 100x. His point - why would you not want exposure to this?

Yusko shared an old Chinese proverb that sums up his argument well:

“When the winds of change blow, some people build walls and others build windmills.”

Nutty’s takeaway: Yusko raises a good point. Innovation is always dismissed as a ‘mania’ or a ‘fad’. The ‘father of radio’ Lee DeForest famously made this prediction about television when it came about:

“While theoretically and technically television may be feasible, commercially and financially it is an impossibility.”

New technology is always dismissed. We won’t be dismissing Bitcoin or Crypto - will you?

ON CHAIN DATA DIVE 📊

Have you heard of the Bitcoin MVRV Ratio?

The MVRV Ratio is arguably the most popular on-chain metric. BUT we hear you… this looks a little confusing…what exactly is MVRV? That’s where we come in. Let’s break this chart down.

Market Cap = Current price

Realized Cap = Average purchase price of coins

Keep these in mind when looking at the chart:

• MVRV above 3.7 (red zone): Possible market top - a great time to sell

• MVRV under 1 (green zone): Possible market bottom - a great time to buy

• Increasing MVRV: Increasing selling pressure, market is approaching top

• Decreasing MVRV: Decreasing selling pressure, market is approaching bottom

🚨Current MVRV Ratio = 1.47🚨

Although not in the deep value zone (green area), a ratio of 1.47 is still low and represents a good buying opportunity. 💰

If we look at the past when the MVRV ratio reached the red zone, the market was pumping and the price of Bitcoin pretty much topped out. This resulted in a sell off and the price falling. 📉

When the MVRV ratio reached the green zone, market sentiment was as bearish as it could be. This signalled the market bottom, the price bounced and here we are. 📈

The MVRV ratio is a useful analytical tool for gathering information about market trends. It’s useful to help identify periods where Bitcoin is on average overvalued (red zone) or undervalued (green zone)

Nutty’s Takeaway: We love this chart and think it’s quite useful for understanding current market conditions. It can be used to identify ideal buying windows and selling opportunities. However, we always recommend that you use this in conjunction with other analytical tools to get a more complete picture.

CRACKING CRYPTO 🥜

TRIVIA TIME ✍️

How much was the most expensive Bored Ape sold for?

• A) 740 ETH

• B) 675 ETH

• C) 32 ETH

• D) 819 ETH

Find out the answer at the bottom of this newsletter 😀

MEME CORNER 😂

Because what would the crypto world be without its share of memes?

Trivia Answer: D) 819 ETH🎉

Bored Ape #8817 sold for 819 ETH of $3.4 million dollars at the time 😱

NUTCASE REVIEW OF THE DAY 🔍

DISCLAIMER: The content of this newsletter is not financial advice. This newsletter is strictly educational and is not investment advice. Please be careful and do your own research.