After an exhilarating ride... crypto has finally taken a breather. After what seemed like an "up only" bull run for everything from Bitcoin to Solana to meme coins like Dog Wif Hat (yes, that's a real cryptocurrency)... the crypto market has been down the last few weeks. And that's good... because this is the dip you've been waiting for. If you're just starting your crypto journey, now is a great time to buy one of my favorite - and longest held - crypto positions: Ethereum (ETH). Because if it delivers gains like last cycle, this thing has a lot of room to run. Buying the Crypto Ecosystem I recently had a call with one of my clients who was investing in crypto. So you can imagine my shock when she said that - besides Bitcoin - she couldn't tell me what any of her crypto projects actually did. Just like with any investment, it's a good idea to understand why you own something. Because during pullbacks, you can keep the fundamental thesis in the back of your mind. And one of the best long-term plays in crypto is Ethereum. The best way to think about Ethereum is as an operating system for the crypto market. Anyone who uses a computer uses an operating system. If you're reading this on a Microsoft laptop, the operating system you're using is Microsoft Windows. You can do everything from write software, browse the internet or open an excel spreadsheet. Just like you have "apps" like Microsoft Word or Google Chrome on a centralized operating system like Windows, you also have "dapps" or "decentralized apps" built on Ethereum. These apps allow users to use centralized lending platforms, create digital goods like non-fungible tokens... and even create new cryptocurrencies right on top of the Ethereum blockchain. I always tell new crypto investors that investing in the Ethereum token isn't just an investment in the Ethereum blockchain. It's an investment in the entire Ethereum ecosystem. More broadly, it's a bet on the growth of the global crypto market. Plus, unlike many projects, Ethereum actually makes money. The project generated $6 billion in revenue over the last 12 months. Revenue is expected to hit $50 billion by 2030. And the Ethereum blockchain is entering a new phase of development. The "Dencun Upgrade" Is Here Ethereum goes through updates just like Microsoft Windows or your iPhone OS . And the one that just happened in March is super important. Because while Ethereum is the first-of-its-kind decentralized programmable blockchain, it has limitations. It's pretty slow relative to new chains like Solana... And that's where the Dencun upgrade comes in. It will help the Ethereum blockchain run faster and handle more information. It introduces something called proto-danksharding, which lets the Ethereum network handle a lot more data efficiently, especially for the decentralized apps that run on Ethereum. Again, this isn't much different from when your phone or laptop gets an update that adds new features and makes everything smoother and better for users and developers. It's a step toward making Ethereum quicker and able to do cooler stuff without slowing down. And since speed has long been a major red flag for developers building on Ethereum, the token has been rallying hard the last few months in anticipation. Historically, these updates have triggered new bull runs in Ethereum. That includes the Byzantium upgrade in 2017, which came right before Ethereum went on a 312% run... Prices doubled in only a month after the Muir Glacier upgrade... And since the last upgrade in 2022, prices have surged more than 160%. Considering we're currently in a crypto bull market, I like the odds of this upgrade adding fuel to Ethereum's bull market fire... especially since it addresses longstanding issues with the platform. Don't Miss Your Opportunity The current bull market in crypto makes it a great time to invest in high-quality crypto projects. But with the Dencun upgrade here, I think it's an even better time to invest in projects that benefit from the update both directly (like Ethereum) and indirectly, like the one I recently recommended to my Breakout Fortunes subscribers. If you've been waiting for a "dip" to begin your crypto journey, I'd make hay while the sun shines. Prices are going much higher in 2024. Stay safe out there, Robert P.S. We're barely scratching the surface of what's so exciting about crypto right now. In fact, there's a singular catalyst coming up - literally days from now - that I think could make many cryptos go vertical. I'm hosting a free event on April 11 to explain everything. (And I'm even giving away a crypto pick to anyone who attends.) I hope to see you there. Click here to sign up. |
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