July 9th 2021
The long term case for crypto is stronger than ever. Every day, government dollarz get weaker and new crypto use cases emerge.
Previously, demand only existed on extreme ends of the barbell: 1. Store of Value (hodling) and 2. Speculation (IPO's). Today we see crypto being used for income, insurance, borrowing and even art. More use cases = fresh demand = more retail dollarz flowing into crypto = higher prices = higher market caps = even more dollarz from bigger players.
Where long term is driven by fundamentals, short term is driven by emotions. And short term enthusiasm seems to have fizzled. My theory is that muscle memory from the previous cycle enabled unsustainable momentum too quickly. Like an emotionally charged child all it took was a little fear, uncertainty and doubt to put the markets on time out.
And that's where we are now. Sitting in time out. We'll emerge with our tail between our legs for a bit, but we'll come to realize being on timeout wasn't all that bad. In fact, maybe it was worth it? Of course it was. All we need is a spark.
Maybe it will be relocated Chinese mining capacity coming back online? Or maybe Ethereum's London hardfork set for early August will kick things back into gear? Before you know it we'll be bursting with bullishness and breaking the rules 10x worse.
I've still got $100k and $250k in my crosshairs. It'll be pure insanity once again - beyond time out. More like crypto winter jail where we'll have to wait it out until the 2024 halving.
To the moon 🚀 — @GΞR฿Z Founder & Creator @ BitLift
BitLift NFT Raffler
My favorite artist of all time, eBoy, has been running daily raffles for Blockbob, his new NFT project. When the opportunity to collaborate with eBoy came up I couldn't resist. I built them a tool for raffling off NFTs and we launched the first raffle yesterday. You can re-play our first live raffle to check it out and here's details on how BitLift's NFT Raffler works.
Tweets of the Week
If you've been following crypto for at least a few years, you know about PlanB's Stock-To-Flow model. Myself and many other investors in the space have been using it as a guide and keeping a close eye on it. But with the recent pullback the question remains, has the model been invalidated?