Merlijn The Trader
Bitcoin & Altcoin Trader, Founder of Profitz Academy
This signal is no longer available. Showing the latest signals.
glassnode
Digital Asset Data, Analytics & Research
Stablecoin supply is shrinking fast. It fell by $17B over the last month, the steepest drop since 2022. As holders swap stables to fiat they drain buying power from bitcoin:native and crypto. x.com
AlvaChallengesReduced buying power weakens the case that staking-related supply restraint can support an ETH rebound below $2,000.
Jeff Dorman
Chief Investment Officer and Co-Founder of Arca
The DEX revenues don't go to Ethereum. It goes to Uniswap and Arrow. The stable coin fees don't go to Ethereum. It goes to USDC, Circle, or Tether. And as a result, unless they start taxing those businesses, I just don't understand how you can put a high valuation on the L1 just for hosting when there's a hundred other blockchains out there that can host just as easily. youtube.com
AlvaMixedDespite offering exposure to payments, tokenization and DeFi, Ethereum’s growing financial base may, on this view, provide weaker valuation support for $10K ETH.
Reuters
Global News Agency
In cryptocurrencies, bitcoin fell 4.73% to $68,126.21. Ethereum declined 5.02% to $1,914.61. tradingview.com
AlvaChallengesThis further widens the climb to $10K, weakening the thesis’s near-term price trajectory.
Ryan Sean Adams
Co-Founder of Bankless, Crypto Investor
I think ETH should have always optimized for ETH the asset to be a store of value and the fee burn thing is just not really relevant to that in the same way it's not relevant to Bitcoin. youtube.com
AlvaSupportsOn this view, the $10K ETH case would depend more on monetary demand than on fees generated by Ethereum’s growing financial base.
Dow Jones
Real-Time Financial News Wire
Ethereum is unlikely to follow the same path as bitcoin when maturing as an asset class, according to Citi's Alex Saunders. Ethereum lacks some of the characteristics that helped bitcoin become more institutionalized, such as scarcity value. "It's not guaranteed that ethereum will always be the largest network or fulfill all the needs that come up as the technology evolves," he said. "I can see a world where different tokens fulfill different needs." tradingview.com
AlvaChallengesIf this view holds, Ethereum’s financial-base growth would offer less assurance of durable institutional demand for ETH, weakening the $10K case.
Tom Schmidt
Managing Partner at Dragonfly
And so you have all these stable coins, tokenized assets just sitting on ETH and not really paying anything to the network other than some nominal transaction fees whenever they do move. youtube.com
AlvaChallengesOn this view, Ethereum’s growing financial base may provide weaker support for $10K ETH than asset balances suggest.glassnode
Digital Asset Data, Analytics & Research
Stablecoin supply is shrinking fast. Total supply fell $14.2B in 30 days, the fastest contraction since June 2022. x.com
AlvaChallengesThis broad liquidity contraction weakens the capital-growth backdrop for Ethereum’s financial-base thesis.Reuters
Global News Agency
OKXICE, the joint venture between crypto exchange OKX and Intercontinental Exchange , will launch a platform for round-the-clock trading in tokenized U.S. securities on November 23, the companies said on Wednesday. ... The launch comes after more than a dozen major US companies objected to OKXICE offering tokenized versions of their shares on its platform, Reuters reported tradingview.com
AlvaMixedThe planned venue would strengthen the adoption outlook behind Ethereum’s tokenized-stock growth thesis, tempered by limits on issuer participation.
Matt Hougan
Chief Investment Officer of Bitwise Asset Management
The people who don't have a good solution at all for accessing US stocks are people internationally or people who really wanna trade $2,473.65 and are willing to go offshore to do it. I think all of the adoption of tokenized stock for the next year or two mostly is going to take place for these audiences that are just terribly served by the existing system that can't access US stocks or that are hedge funds that need to trade on Saturdays. ... Eventually, all stocks will be tokenized. podcasts.apple.com
AlvaSupportsHougan expects tokenized-stock adoption over the next 1–2 years mainly from underserved international users and funds needing weekend trading, supporting a concrete demand channel for the thesis’s growth outlook.
Brian Armstrong
Co-Founder & CEO of Coinbase, Co-Founder & CEO of ResearchHub, Co-Founder of NewLimit
Base is quickly becoming the home for onchain finance. Lending markets now hold $7.49B in supplied assets, with $2.65B borrowed. x.com
AlvaSupportsBase’s $7.49B in supplied lending assets and $2.65B borrowed strengthen the evidence of a substantial financial base in Ethereum’s layer-2 ecosystem.Dow Jones
Real-Time Financial News Wire
A top regulatory officer at Nasdaq explains the company's concerns about how the agency is implementing tokenized securities. By John Zecca ... Nasdaq recognizes that, if properly designed, tokenization can be a big positive for share issuers. ... But realizing those benefits depends on market structure as much as the technology. tradingview.com
AlvaMixedNasdaq sees benefits for stock issuers but argues they depend on market structure, qualifying the adoption outlook behind Ethereum’s $827M tokenized-stock base.Dow Jones
Real-Time Financial News Wire
Ether declined to a 12-week low of $2,053. ... The prospect of further Fed tightening is negative for risk appetite, weighing on cryptocurrencies. tradingview.com
AlvaChallengesETH’s fall to $2,053 widens the climb to $10K as the report identifies further Fed tightening as pressure on cryptocurrency risk appetite.Reuters
Global News Agency
The New York Stock Exchange will settle tokenized stocks on its upcoming 24/7 trading platform exclusively using the Avalanche blockchain- WSJ tradingview.com
AlvaChallengesThe reported exclusive use of Avalanche for NYSE’s upcoming 24/7 tokenized-stock settlement challenges the claim that Wall Street is choosing Ethereum; WSJ reports the plan, without NYSE confirmation here.
Vitalik Buterin
Co-Founder of Ethereum
On top of this there is another concern: optimizing for fee burning means optimizing for high gas prices to some degree. This may price out users, including some users who may need privacy and security the most. The price that maximizes price * usage leads to less usage than the price that allows as much usage as possible subject to safe blockchain resource limits. x.com
AlvaChallengesButerin warns that maximizing ETH fee burn can price out users and reduce usage, exposing a tradeoff between growing Ethereum’s financial base and extracting fees to support ETH’s valuation.Vitalik Buterin
Co-Founder of Ethereum
The more assets there are natively issued on L1, including both RWAs and native decentralized assets, the larger a set of things you can "do" with your ETH, the better. Being able to easily (including safely, trustlessly) convert back and forth between ETH and other assets, use ETH as collateral to do things with other assets, etc, all forms part of the utility of holding ETH. x.com
AlvaSupportsButerin argues native L1 assets make holding ETH more useful through conversion and collateral uses, strengthening the link between Ethereum’s growing financial base and demand for ETH.Vitalik Buterin
Co-Founder of Ethereum
But we should not feel sad if fee burn is < 10% of breakeven indefinitely; the value of ETH comes from elsewhere. ... The main pragmatic benefit that these things translate into is stability. SoV is the category where that is not an unneeded extra we merely put effort into for ideological reasons, but rather a pragmatic strength from the perspective of people putting in their assets. x.com
AlvaMixedButerin favors stability-driven store-of-value demand for ETH while accepting burn below 10% of breakeven indefinitely, shifting the $10K rationale toward asset demand rather than fee-driven supply reduction.Vitalik Buterin
Co-Founder of Ethereum
Today, Ethereum actually has a better claim to this external backing, because of the growing RWA economy, but on the other hand, perhaps precisely because it's a normal stable mature business, it's not going to randomly go crazy and burn $180m on a digital monkey sale. x.com
AlvaMixedButerin argues growing RWAs give ETH stronger external revenue backing, supporting the financial-base thesis, but expects mature activity to produce less extreme fee burns, tempering the valuation case.Dow Jones
Real-Time Financial News Wire
The tokenized stock market planned by crypto firm OKX and New York Stock Exchange-owner Intercontinental Exchange has run into a major roadblock. ... As of the latest public notice, every non-crypto-tied stock issuer originally announced by the venue had objected to being included. tradingview.com
AlvaChallengesObjections from every initially listed non-crypto issuer at the OKX–ICE venue weaken the broad Wall Street adoption argument behind Ethereum’s tokenized-stock growth outlook.
Vlad Tenev
Co-Founder & CEO of Robinhood, Executive Chairman & Co-Founder of Harmonic
[Replying to @14447013: "Why did you need your own chain?"] We looked long and hard at all the other ecosystems out there and found that nothing quite met our specific needs of building the #1 chain for real world assets (and memes too). x.com
AlvaChallengesRobinhood’s rationale for building its own real-world-asset chain challenges the assumption that existing Ethereum infrastructure will meet institutional platforms’ needs.
Justin Sun
Founder of TRON DAO
[Quoting The Block: "Tron's USDT supply has climbed to approximately $93 billion, extending its lead over Ethereum to a record $25 billion."] 93 billion USDT on Tron! x.com
AlvaChallengesTron’s reported $25 billion lead in USDT supply challenges Ethereum’s competitive position in the stablecoin base underpinning the bullish ETH thesis.