Ethereum Hits New ATH: Maintaining OW & Issuing $10.5k Target As Web 3.0 Blockchain Computing Looks Set To Disrupt The Cloud
For a full copy of this report in PDF format, click this link.
Ethereum (ETH) reached a new all time high of $1,440 today, passing the previous high set during January 2018 at the peak of the crypto bubble. We’ve been recommending an overweight in Ethereum since April 2020 and continue to see upside. We continue to believe Ethereum fundamentals are incredibly strong and think ETH represents the best risk / reward investment play in crypto. Web 3.0 blockchain computing may be the future of cloud in our view. Ethereum is now capturing a notable share of the cloud market. ETH transaction fee revenue has been growing at 1099% 5-year CAGR and finished 2020 at ~$600M. During 2021 YTD, ETH has already recorded $180M in cloud revenue, implying an annualized $3.9B by FY 2021. We believe Ethereum should be valued like a cloud 1.0 stock. On a growth adjusted basis, we calculate Ethereum is 1/8th the price of the BVP Cloud Index. Based on our analysis, we are issuing a $10,500 price target on Ethereum (ETH) which represents ~650% upside from current levels.
Web 3.0 blockchain computing may be the future of cloud: Smart contract platforms like Ethereum are enabling a new version of the internet. Web 3.0 blockchain networks give users connected edge computing, trustless co...Reports you haven't read
Binance.US Announces Suspension of USD Deposits and Vitalik and Polygon Co-Founder Donate to COVID Research
Crypto markets are up slightly on the day, BTC 0.15% has risen 0.54%, and ETH -0.11% has risen 0.15%. Interestingly, the ETH Dominance metric, a metric that measures Etheruem's market cap compared to the rest of the crypto market, has reached its highest levels since the Merge last year and at the peak of the 2021 bull market, indicating that Ethereum is extremely relatively strong to the rest of the market. Altcoins...
Today, we're witnessing a return of familiar correlations as Bitcoin, gold, and equities all stage a mini rally. Today's major macro news was the leap in jobless claims to 261k, a level not reached since October 2021 and notably above consensus. Advocates of continued rate hikes frequently point to the consistent strength of the labor market. However, this new data could signal the onset of a softening jobs market beginning...
INVESTMENT THESIS Given the rise in U.S. treasury yields (5.00% - 5.25% at the time of writing) and the suction of liquidity that ensued from risk assets, perhaps the most useful metric to gauge product-market fit at this stage of the bear market is Total Value Locked (TVL). Essentially, the consideration that is front and center in the minds of savvy investors is, ‘Would this investment or strategy yield better...
Discover market dynamics, risk aversion, and asset impacts. Explore liquidity, short-term bills, and capital flow. Stay informed about FOMC meetings. Uncover expert analysis and a constructive outlook on the crypto market. Don't miss this insightful video for investors. *Recorded on June 5, 2023
