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- 🥜 Crypto Expert: Time to buy Ethereum
🥜 Crypto Expert: Time to buy Ethereum
PLUS: This Billionaire likes Bitcoin
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Happy Halloween to all 15,432 of you. Crypto Nutshell #129 spookin’ thru. 👻 🥜
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Today, we’ll be going over:
💰 Why this billionaire likes Bitcoin
⏰ Time to buy Ethereum?
⚡ BTC dominance on the rise
🤑 And more…
MARKET WATCH ⚖️
Prices as at 5:15am ET
Only the top 20 coins measured by market cap feature in this section
WHY THIS BILLIONAIRE LIKES BITCOIN 💰
BREAKING: ‘I don’t own Bitcoin, but I should‘ - legendary investor, Stan Druckenmiller
During an interview with Paul Tudor Jones, Druckenmiller praised Bitcoin for establishing its own “brand“.
For those who don’t know, Stanley Druckenmiller is the founder of hedge fund Duquesne Capital. His net worth stands at $6.2 billion. So it’s safe to say he knows what he’s talking about when it comes to investing…
“I’m 70 years old, I own gold. I was surprised that bitcoin got going, but you know, it’s clear that the young people look at it as a store of value because it’s a lot easier to do stuff with. 17 years, to me, it’s a brand. I like gold because it’s a 5,000-year-old brand, but the young people have all the money, certainly the ones on the West Coast do,”
Stanley Druckenmiller is one of the most successful hedge fund managers on Wall Street and is worth $6,200,000,000.
He says, “Young people look at #bitcoin as a store of value. It’s a brand. I like it. I dont own any, but I should”
— Documenting ₿itcoin 📄 (@DocumentingBTC)
8:24 PM • Oct 30, 2023
Druckenmiller goes on to explain that crypto could flourish with people continuing to lose faith in the central banking system.
“I could see cryptocurrency having a big role in a Renaissance because people just aren’t going to trust the central banks."
2023 has definitely been an interesting year so far.
Wall Street is clearly warming up to Bitcoin. We’ve got multiple Bitcoin ETF applications in the works. And now two of the richest men in the world are discussing why they like it.
Momentum is picking up. 🚂
For the full article click here.
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TIME TO BUY ETHEREUM? ⏰
We all know the spot Bitcoin ETF is coming.
70 days until the final deadline… (not that we’re counting or anything) 🤨
All the attention is currently on Bitcoin.
Which, ironically, could mean it’s the best moment to invest in Ethereum.
At least that’s an idea from macroeconomic expert, Raoul Pal.
In his latest interview, he broke down his mental model.
First off, Raoul points out that everyone knows the Bitcoin ETF is coming... which means money has already front-run it.
“My mental model is: ‘Okay - so the money goes into Bitcoin first. But everybody who's been in this market has been front running it, by owning Bitcoin.”
But we also have a high degree of confidence that another ETF is on the way...
The Ethereum spot ETF.
With both Cathie Wood’s ARK Invest & Grayscale filling for a spot Ethereum ETF, it’s already in the pipeline.
That’s where Raoul believes the money will flow next:
“The next thing is, they'll go: ‘Well, they're going to do the ETH ETF next.’ You know, the ETH ETF. That will run.”
The big risk to an Ethereum spot ETF would be Ethereum getting classified as a security.
However with the SEC losing the Ripple case in which they tried classifying XRP as a security, that risk is now minimised.
And with Ethereum being deflationary since the Merge, Raoul might be onto something…
“The ETH spot ETF will happen. Of course it'll be later. As soon as the Bitcoin one is done, they'll front run it by going to the ETH one. Because they know that's the next one. We will see that.”
But we want to hear from the Crypto Nutshell readers.
Bitcoin has crushed Ethereum over 2023:
Bitcoin: +107.47%
Ethereum: +50.42%
But which do you think will out-perform in 2024?
Which will perform better in 2024? |
BITCOIN DOMINATING 💪
Bitcoin Dominance continues to push upwards, having reached its highest point in over 2.5 years at 54.4%.
As it stands, Bitcoin is currently worth more than all other cryptocurrencies combined…
Bitcoin dominance measures Bitcoin’s share of the total crypto market. It’s calculated by taking the market cap of Bitcoin and dividing by the total crypto market cap.
Increasing BTC Dominance: Bitcoin is outperforming altcoins 📈
Decreasing BTC Dominance: Altcoins are outperforming Bitcoin 📉
Bitcoin has simply outperformed major altcoins so far this year. Let’s compare Bitcoin’s YTD performance with Ethereum’s:
Bitcoin: +107.47%
Ethereum: +50.42%
Breaking down the dominance of the top altcoins:
Ethereum: 17.36%
USDT: 6.80%
BNB: 2.76%
XRP: 2.47%
Make no mistake, we aren’t just dunking on altcoins here.
In fact, this is expected.
During bear markets, people tend to de-risk their investments. This means putting their money back into Bitcoin (BTC dominance rises).
Once we enter the bull market, then people start to invest in riskier assets. This means money starts flowing back into Ethereum and then other altcoins (BTC dominance falls).
For example, during April 2021, Bitcoin’s Dominance fell by 10% over the course of the month. This was due to the exponential rise of altcoins.
Bottom Line: Right now Bitcoin is the safe haven crypto. The upcoming ETF approvals and halving are also playing a major part in Bitcoin’s outperformance of altcoins.
BUT make no mistake. Altcoins will be back.
CRACKING CRYPTO 🥜
WHAT WE’RE READING ✍️
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CAN YOU CRACK THIS NUT? ✍️
How well do you know Bitcoin?
One miner wins the block reward roughly every _____ minutes.
A) 15
B) 10
C) 20
D) 5
Find out the answer at the bottom of “Meme Corner” below 😀
MEME CORNER 😂
Because what would the crypto world be without its share of memes?
Trivia Answer: B) 10 🥳
The supply of bitcoins is replenished at a set rate of one block every 10 minutes.
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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
*Past performance is not indicative of future returns. Investing involves risk. Important Regulation A disclosures at masterworks.com/cd.
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