Is It ETH Time?
Is ETH the Jim Morrison of Crypto? Will It Break on through? (Terrible.)
Ether (ETH) - the native asset of the Ethereum blockchain - has only made lower highs against bitcoin (BTC) since June 2017. See chart below.
As “The Merge” - Ethereum’s move from a proof-of-work (PoW) to a proof-of-stake (PoS) blockchain (I describe what PoW and PoS mean here) - approaches, though, ETH investors are getting pumped up. And along with the elevation of their mood has come the elevation of ETH’s price.
ETH is now on the verge of flipping the above (blue) trend line from resistance to support. So, cue the music and get that popcorn poppin’, baby; it’s showtime. Maybe. Kinda. Probably not. But maybe kinda.
Will ETH break on through and will its strong upward price momentum continue?
My short answer: I don’t know. (Not very helpful, I know.)
I’ve also been looking at Bitcoin (BTC) dominance, and it has been quite low. See chart below.
Every time BTC dominance gets this low, it tends to bounce back.
And every time MSM news outlets and Ethereum proponents start talking about “The Flippening” - when ETH’s market cap (I describe what market cap is here) will become larger than BTC’s - said Flippening doesn’t occur.
Will this time be any different? Again, I don’t know.
I did sell some shares of the Greyscale Ethereum Trust (ETHE) that own yesterday, though.
If you’ve been buying ETH since the June 2022 lows, you might want to take a little bit of profit.
But again, I’m not a financial advisor, and I’m not here to offer financial advice. So you just continue to do you, and I’ll just be over here in my corner of sadness (being consoled by sad songs from teen pop princesses).
Multiple Personalities
The US Senate passed the “Inflation Reduction Act” this week. Here’s what work Frank had to say about it:
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And then here’s what Twitter Frank had to say about it.
We’re planning to print $740 billion to combat inflation - the thing we made happen by printing too much money. To be fair, the bill proposes that some percentage of the money will come from a tax on corporations. But still…
While on the topic of crazy pills…
The IRS Is Hiring 87,000 New Employees
A little less than a year and a half ago, I wrote an edition of this newsletter in which I posited that even if Biden did collect more money in tax revenue, most of it would just be blown expanding the bureaucracy of the US government and not helping the poor or middle class.
Thanks, Joe Biden, for proving me dead right. Strong work.
Some Pieces I Wrote This Week
I continue on my spree of writing about crypto wallets for Finder.
Link: “Best crypto hardware wallets”
And here’s a piece that I wrote for Nasdaq’s website on behalf of Finder, which also happens to be about crypto wallets:
Link: “Where Should You Store the Private Keys to Your ETH?”
Again, it’s important to learn how to self-custody your digital assets. Here’s the sort of video that teaches you how to do that:
And you don’t have to use a hardware wallet. There are other wallets you can download for free that help you to get the private keys to your assets out of the hands of exchanges and into yours.
Solomon
Thank you to everyone who contributed to help pay for some of Solomon’s tuition!
As I said I’d do in a previous edition of the newsletter, below I’ve posted proof of the funds that I received from readers via Venmo and the funds that I sent to Solomon via World Remit below.
If you sent me funds on a specific date and it doesn’t look like they got to me via Venmo or PayPal, please reach out.
Feels good to have done this for my friend. Thank you again for your help!
Homework
It’s been a while since I’ve given you some homework, eh?
Good Friday banter on Crypto Banter below. Included are the conversation are Shark Tank’s Kevin O’Leary, Fidelity’s Global Director of Macro Jurrien Timmer (a very smart dude) and the one and only Papa Raoul.
Watch it. Don’t watch it. Whatevs. There won’t be a quiz.
And with that, I bid thee adieu.
It’s the freakin’ weekend [and] I’m about to have me some fun (which, to 40-year-old Frank translates to “Hey, maybe I’ll walk about 10 blocks over to that Vietnamese restaurant for some of that delicious vegan pho.”)
(Terrible.)
Best,
Frank
Twitter: @frankcorva
Currently Listening To: “Mental Math”, by Julien Baker