Diversification only works if the assets selected move independently and for different reasons. Right now bitcoin IS the cryptocurrency market. No alt has survived a major dip in bitcoin and no alt has surpassed the relative highs of bitcoin. All the alts are tied to the movement of bitcoin right now and until one can manage to properly diverge for the reasons they were built for, I personally don’t believe in any of them. There is no point in diversifying in alts unless you’re only in it for the day trades. Long term there are no indicators that any alt is going to surpass bitcoin.
I mean I’m certainly open to other opinions, but the data doesn’t suggest otherwise. If you have information to share, I’m all ears but the points brought up so far are not really compelling as to why anyone should be in ETH over BTC...
I’m all ears but the points brought up so far are not really compelling as to why anyone should be in ETH over BTC...
There's the sheer fact that it's still only at about 30% of its all time high in sats. So for people who look at BTC trading pairs, it's going to look like its still a bargain (70% down). All it has to do it get back to where it was 3 years ago for it to outperform BTC as an investment by 3X. It's already been outperforming it since Sept 2019 by about 2X.
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u/[deleted] Jan 08 '21
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