Selling Ethereum for Dogecoin!?
All right, so we're, live welcome back to dap university. So today we ' Ve got a lot to cover in our live stream. A lot's happened since the stream we made yesterday. You know if you're new around here, just tuning in for the first time we do.
These live streams monday through friday, 9 30 a.m. Central time just about um - and today i'm going to talk about you know what's going on with the cryptocurrency markets uh. We got a lot of surprises this morning that i want to talk about.
Okay, uh lots of other news about people in the space really lasering in on ethereum and d5, we're, seeing mainstream media attention about this and a lot more so before we get into that. You know if you're new around here, hey i'm gregory and on this channel i turn you into a blockchain master.
So if that's, something that you're interested in then smash that, like button down below for the youtube algorithm and subscribe to this channel. And if you want to learn how to become a blockchain master step by step start to finish, then head on over to dappydiversity.
com forward, slash bootcamp to get started today, so it looks like my camera is a little funny here. Let me just fix that. Let's. Try that again, all right! So let's, go ahead and jump into the uh, the markets here.
So this is probably one of the biggest surprises of the entire week, maybe the entire month - uh, dare i say it the entire year: well, maybe not the entire year, but um dogecoin. Okay, it's, just going crazy.
All right. We saw this earlier. This year we saw dogecoin start to take off uh elon musk tweeting about it lots of other people getting on the dogecoin hype, train okay, sort of this meme coin. That people are just like pumping like crazy and, to be honest, you know it surprised me back in january when it first started um - and i was thinking like oh hey, that was cool.
That was the big dogecoin pump, and then it was probably gonna die down and not be not not do much later, but it's, come back with a vengeance and it's. Surprising everyone - and you know the cryptocurrency markets - have been going up like crazy.
We've, seen the coinbase effect this week, lots of gainers in the top 10 um and even down right and down down the market cap list, see a lot more gains. We have smaller market caps for sure um, but we saw a big correction yesterday.
I have big correction, but you know things were going up really well and then it started to really cool off and then we started to see this little bearishness and then among the bearishness of pretty much everybody.
Doge is just you know, blasting off to infinity here, and so it begs the question: are people selling out of their positions and some of the other coins to chase this dogecoin pump? Okay, are people selling eth? Are they selling uh bitcoin to maybe just a small amount of their portfolio even to get on this dogecoin hype train? So as always, not financial advice? I'm, not telling you to do that, but it looks like a possibility.
What's, going uh with what's going on here at the markets? I mean uh sure there's, lots of other ways. You could explain dogecoin like just totally outperforming everybody else, but i think there's, something to uh the the notion that people are.
You know kind of uh changing lines at the grocery store, so to speak here, uh. So what do you think? Let me know down in the uh. What do you think down in the comment section below some people say? Is doge even a good coin? Judging ass developer, that's, a good question, so you know not financial advice.
I personally would not hold a large amount of money in dogecoin uh. It was never really designed to be uh like an industrial strength project or anything like that. I wouldn't, put a lot of faith in the integrity of the actual blockchain itself.
That being said, i mean i don ' T spend a lot of time uh, you know, kicking the tires with doge and doing like uh technical audits or anything like that um, but it's, not the kind of thing that i would you know personally hold my life savings and from a Technical perspective i'll.
Put it that way so anyways i mean this is just absolutely nuts so dogecoin i mean it flipped cardano it. It could like very realistically flip a binance coin. I mean it would take a while for it to flip something.
Like ether, i i don't think we'll, see that happen uh and, of course this could be the long term top for doge. Who knows not financial advice? I mean all all bets are off at this point um. This is just crazy.
This is crazy. I have a hard time believing this is real, that we'd, see doge in the top five like this um for any. You know, amount of time. So let's. Let's. Go and check on what's going on with other cryptocurrency prices.
So let's check on ether. So, like i said a minute ago, um you know ether. Is we had a good day yesterday? You know we hit um see if my internet will actually work here. Man, i don't, think it's, my internet, my stream's.
Doing just fine. I think it's, probably just a connection to coingecko it's, maybe coin. Maybe people are on the coin. Gecko website, just like you know, rage, refreshing, trying to check the doge price.
Somebody says they didn't. Have a life savings until this week? Well, i hope that crypto is trading. You well all right. So i'm having a hard time checking the eth charts here. Okay, here we go. Okay, i '
Ll switch a different website, so yeah things were going well. Yesterday, um, you know i was a happy man. We saw eth, you know, go up to twenty two thousand five hundred thirty seven dollars looks like is that our all-time high see what the actual all-time high listed here is yeah, two thousand five hundred and forty four dollars, and then we saw everything kind of go Down rather quickly as dodge was going up rather quickly, um, so yeah i felt felt really good about that.
Uh super excited standing all-time high. I mean things are going strong for eth um, let's, hope they continue going on that direction. As always. Now financial advice, not a big trader and every ta guys look at the big picture here: um bitcoin, okay, back down to 60 000 uh.
We got up to what's, our all-time high here, 64. 804. It's, crazy that we're, seeing these like four thousand dollar, swings in the bitcoin price at this level, because i mean this time last year, uh don't forget like when we saw the big dump in march About this time last year you know march of 2020, so you know a little.
Over a year ago we saw it was like a five thousand dollar dump roughly, and so you see a four thousand dollar dump. Here i mean it's, a percent the percentage changes, so it doesn't affect you that much, but still the total amount is crazy.
It just shows you the difference in how much attention there is in the space right now. How much their activity there is compared to where we were last year this time last year about um, so anyways yeah it's, absolutely crazy! Let's.
Go check out some unchained metrics here i kind of see where the market froth is so i always try to tell people what's going on with on-chain metrics. So basically we're analyzing, the actual blockchain itself.
I really like it because again i'm. Not i'm, not huge into ta. I like to look at the big picture stuff and uh. I'm, a blockchain developer that's. What i do um, and so i like actually analyzing the blockchain itself to understand um, you know sort of what's going on, so our our metric um just pull up the chart here see we are currently at uh.
Well, our yesterday we closed out at 0.7, so we're, trying to say from 0.5 we don't really want to go above 0.5. If we do, that typically indicates some period of euphoria, okay, which, if history is any indication every time we see euphoria, we go for some sort of long-term bear trend, so um yeah, we're, seeing some chop right now.
You know we, you know with the ethereum price, bitcoin price, twenty five hundred dollars, plus sixty four thousand dollars plus and then a correction by you know four or five percent. Of course it sucks people lose money um, but it does give us more headroom and so that will likely give us a little more room in our new chart.
So uh let's. Let's, move on to some some mainstream media attention, because this is always really really good for um. You know d5. It's good for ethereum, especially when we're talking about the technology that we're building underneath and attracting outside attention.
We talk. This is the coinbase ipo okay, so you know: coinbase ipo happened this week, direct listing to the nasdaq um. We talked about how that can be good for crypto, for lots of reasons. One other one of the big reasons is um.
Basically, just attracts attention to the outside space and people see a publicly traded company that's, a cryptocurrency exchange, it validates um, but it's. Technology validates the actual cryptocurrency itself.
It elevates the status of cryptocurrency people's. Mind as a serious thing, people are all about social proof um, you know when they see people like elon, musk or tesla, buying 1.5 billion for the bitcoin.
It changes how they think about it in their mind. Okay, then, that won't convince everybody, but when you start to see other big names like jumping in the space and by bitcoin people, start thinking like hey, i have to take this stuff seriously, similar type thing.
Whenever you see um, you know a publicly traded company or a cryptocurrency exchange like coinbase, one of the you know the biggest one united states. As far as i know, uh becomes publicly traded uh it just it just changes how people think about it.
Okay, so another thing is this: you know: mainstream media attention and also positive, mainstream media attention, and i would also add accurate mainstream media. Attention is also really great, particularly for d5, particularly for ethereum, and that's.
What we're, seeing yesterday, i'm gonna pull this up here on my screen uh. This was from cnbc, so here you go so this is a. This is a clip from cnbc. I'm gonna play. This i'm gonna test this out, see if it actually works on my computer.
Here it's, a pretty good interview. Let me let's just go to see if my theater will work all right, so i won't be on camera, but that's. Okay, hey courtney. Investors are hoping that the coinbase debut is just the beginning.
For the crypto economy, you may have heard this buzzword recently defy or decentralized finance it's, an effort to make the rest of the financial world more like bitcoin. If you think of how the economy works right now, most things are controlled by either a company, a government or some sort of central authority, so those would be centralized.
Bitcoin, meanwhile, is a currency that's, not controlled by a government or any other authority, so that's decentralized in this case, blockchain technology replaces the middleman to keep track of everything.
Advocates say that it increases transparency because you can track transactions on a public ledger. Startups are looking to take this same concept to other parts of finance. Some are building decentralized stock exchanges, so they call it a dex there's, another buzzword for you, others are taking on mortgages, loans and other banking products.
A lot of these startups are built on the same infrastructure or network. So ethereum has been the main platform developers are using for these decentralized apps. Think of this, as kind of an open source easy to use blockchain building tool that can be tailored to lots of different uses.
Most nfts, for example, are built on that technology. Coinbase bulls have argued that that crypto exchange is already a leader in the space and stands to benefit from the so-called defy economy that they say could help justify some of those high expectations baked into the stock price.
Guys back to you all right, so i'm gonna uh kill the feet here so anyways. I was a pretty great clip to tell you the truth. I mean uh. Sometimes we see really bad takes about cryptocurrency nfts uh, all that kind of stuff by the mainstream media, but she did a really great job.
Um i mean the the accuracy of that was was pretty pretty good. You know what i mean, so they're talking about defy talking about why this is such a huge paradigm shift. Uh we're talking about, i mean we heard a lot.
We heard a lot of sort of deep keyword like like lower uh part of the funnel keywords. Like we're, not talking about just cryptocurrency blockchain, we got dex, we got ethereum, we got defy um all. You know all the things that we're actually doing with this technology that people are actually using today, uh.
They did a pretty good job of it. So you know this is the type of uh coverage that we want. So what people to act, you know say things accurately um, and you know this is. This is important. You know we're, starting to see this kind of bubble up into to mainstream popularity here uh.
So this is really big for the space. So we see more people, uh kind of doing the same type of thing. We saw uh the citibank report. Let me pull this up here. We saw this uh, so citibank let's. Just pull it up here on my screen here, so citibank actually talking about a report about maker now, okay, so this is more about d5.
So if you're, not familiar with maker dial, basically what it is is it's uh the project that uh basically makes die work, so dye is a stable coin on crypt on ethereum that's. You know huge for the the d5 ecosystem, so maker dow is a decentralized stable coin, so it's, backed by uh, multiple cryptocurrencies, that that give it its value.
So we have different stable coins like uh, uh usdc, for example. It's, a fiat backstable coin um, and so you're. Just it's, backed by actual fiat currencies like us dollars, but uh uh die is a decentralized currency that's, backed by other cryptocurrencies.
Okay - and it has an algorithm essentially that helps maintain its peg, so that's. What this is and it's crazy to see uh. You know the citibank report talking about the future of money talking about maker now uh and how it works for the the decentral bank.
Okay, sorry, my phone's blowing up here, so we're, seeing more coverage of that more more people, getting educated on d5 uh, pretty pretty crazy. We see another one uh, and i keep talking about d5 reports here, but this is a lot of stuff that you should go check out for sure.
Another report that i want to call your attention here, um this is this - is homework for you all. If you want to read something like this and actually understand more about d5, why it's such a big deal um, so this is from uh.
This is from arthur hayes, so he's. He's, quite a character. Um from bitmex, okay was once at large uh, but you can go read his thesis here on long-lived d5, so it's. It's, pretty crazy. I recommend you go check this out.
Yeah read it understand it. It'll help you give a better um. You'll, see more clearly why this stuff is so important, especially when i have a finance background which that's. Okay, like i didn't, have a strong finance background uh.
Whenever i got into blockchain, you know i've been a watching developer for many years now got into space in 2017 uh, because i was fascinated with cryptocurrency prices: okay, uh! You know i saw bitcoin basically caught my attention.
Ethereum cut my attention, the other cryptocurrencies going up like crazy in price, and then i was like well so why so? I you know that got me really interested in the tech um and then going to the rabbit hole that got me interested in all the other things.
Okay. So what do you do with blockchain? So the finance all this kind of stuff - and i had a pretty basic understanding of in economics - finance, investing interest rates before but going down the d5 rabbit hole and with blockchain, really changed that so part of that journey was learning how a lot of stuff actually Worked, what are we building? How does it work? How does the old stuff work and you'll, get an understanding of that by reading something like this, so it's, pretty good, highly recommend checking it out if you haven't already.
So let's. See next thing i want to talk about here. We got a lot. I mean there's, a lot more stuff uh from from like mainstream coverage. Uh, we see more people jumping on the eth train as far as buying it: institutional adoption, uh exposure to gray tail grayscale, ethereum truck, etc, etc.
But i wanted to stop and just make sure we have any questions in the chat here. So i don't, have any i don't have any links i can. I can put the link in the live chat here. So if you want to check the live chat at this point, i can put the uh lincoln there here's, the tweet okay, somebody says doge is barking.
Yes, let's, go back and check on the doge to see how it ' S. Doing i can't believe this is real. It's, so crazy. I mean, i think, a lot of things happen in the crypto markets that absolutely surprise.
Other people uh, especially people who've, been here for a long time. I mean it always. Will it'll, always surprise you there'll, always be things that go way up higher in price than you thought they ever would um there'll, be some things that don't move like you thought They would - and i think we're, seeing doge as an example of one of those that has shocked a lot of people, so it's, just crazy crazy.
So somebody says: how do we explain the value of cryptocurrency to someone who is isn't in the space? So that is a really good question? Okay, because this is a hotly debated topic like how do you value cryptocurrencies in the first place? Okay, there's, a lot of different models for how people do it there's, a lot of different.
You know, sort of thesis, thesis, uh, different explanations for why they maintain their value. At the end of the day, it's, really just about supply and demand. Just like anything else, okay, so uh is there a demand for it is there supply for it.
Um is the demand bigger than the supply, etc, etc. That's. What causes the price to go up? Okay, so i know that's, not a very satisfying explanation for for a lot of people uh, but it's. It's kind of hard to know.
You know they're uh. Basically, they don't work like stocks, so it doesn't represent equity in a company. Uh different cryptocurrency do different thing. You know, bitcoin has this narrative for uh digital gold? I mean some people think that cryptocurrencies essentially just drive their value or how do the prices go up essentially from from people thinking from just from narratives people? Human emotions sentiment about what it's for uh i mean there.
There is intrinsic value in the ability to have a peer-to-peer, uh digital cash network. Okay, where you can basically uh you know, send things around quickly, all that kind of stuff, digital scarcity, all that right, but trying to like then say it's.
For that reason, it has to be worth this price there's. There's, lots of different models for how people project a certain price and we have stock to flow. We have uh lots of different models for that uh.
We have people talk about, you know: metcast law, network effects, uh being models for price. We have a price to uh fees with d5 protocols networks, all that kind of stuff kind of like price to earnings.
There's, lots of different lots of different models, and some people think that the models people use to value stocks in the first place, aren't any good at all. So it's like it's. A highly debated topic there's, no real simple answer to say hey: this is this is how you value cryptocurrencies.
Okay, it's, it's; it's kind of kind of kind of crazy. So if anybody has a good uh favorite model that they want to talk about, leave it in the comment section down below so somebody says a while ago talk about web 3.
0 being the next possible big thing um. So i do think that that's, that's possible. Okay, of course, no guarantees, not financial advice. I'm, not telling you to like go fomo into web3 projects and wait there for the price to go up.
That thesis could be wrong, but um that is thinking about you know hey. How do these markets work um? How do these tech trends work? Well, basically, we find something that takes the spotlight for a little while and then gains popularity and it might fizzle out in popularity for a little while or just kind of cool down.
We talk about uh sort of like gartner hype cycle uh, if you all are familiar with that, i like to kind of bring these things back up regularly, so that you understand and give you sort of mental models to understand how the space works.
But i'll split up at the garter hype cycle um. So basically, this is like uh sort of like a curve for people's, excitement about something. Then it kind of dies down, and then it plot that goes back up and plateaus, so that this is what happens a lot with the the sort of smaller trends than blockchain.
This. This, of course, happens with the larger block training, crypto trend as a whole, but it also happens with sort of sub trends that come on the scene underneath it so d5. For example, nft's, d5 experience this explosion of excitement and then kind of like over last summer, and then you know in the fall it really kind of fell down, and now it's kind of on this slow rise.
Okay, it's kind of had ups and downs, but that's, sort of what it's like people about the crypto, the j curve that's kind of what this is like the j curve. So it gets you see this with the ipos all the time he's, always with the you know, see those other cryptos.
They hit the scene. They start here. They go way up here they dump and then they slowly rise. So we could see a similar type of thing happen with web3 um. I don't. Think we ' Ve really hit this part of the web3 trend.
Um it's, just natural it's. Natural people. Look for the next new kind of shiny thing, and i think that's, one of the next new shiny things that really has promise again isn't, always not financial advice, but i think it's.
I think i think we ' Ll, see it sooner than later. Somebody said d5 is king, like aetherium, i think d5 is going to be big um. You know i personally hold d5 projects um. I think it's here for the long term.
The other thing about d5 and some of these projects is some people have a bet on defy as sort of uh part of their sort of multi-chain thesis. I've talked about a lot on this channel people about. Are we going to live in a multi-chain world um i mean i want to wait and see to tell you the truth.
I'm, not 100, convinced that we ' Ll live in a multi-chain world where you know all these blockchains. Have you know this equal market share that's? What a lot of people say when they say multi-chain, they're.
They're trying to like they're trying to like justify uh. They just don't like competition. You know what i mean, then they don't like uh. They don't like the idea that a project could like lose and not really ever gain adoption um some people say moldy chain, they think of this pie right and they think of like.
Oh everybody's, just kind of equal slice. This pipe that's, not really how the world works. In many cases, you typically have like one or two things that have a massive part of the market share. It depends on what it is.
It depends on what it is there's there's, some things where everybody kind of has a relatively equal slice. There are some things where you know some people have a disproportionate amount of activity.
I think we're. Probably headed towards a world where one or two or maybe three blockchains, has a disproportionate amount of activity and the other ones. Don't have much doesn't mean they can't exist um, and i could be totally wrong in that thesis right like that's, it's.
Fine, it's. Fine, if i'm wrong, i'm. Not i'm, not trying to uh. You know i don't. I don't leave but lead anybody astray with that prediction. But the reason i bring it up is because uh some people think we know we will live in a multi-chain world there's.
A lot of activity in all these other chains and d5 is potentially, if, like like the d5, plays essentially um a way to benefit from that, because if you are in a d5 project that expands into other chains and then you get exposure to that, so that's, that's.
One thing people think about d5. I think it's. An interesting take another take on the multi-chain thesis um. Let's. Just say you know that my prediction is closer to reality. Where we have a you know, a map, you know huge amount of uh market share by a few chains and then, like you know, a dozen or more chains are sort of fighting for scraps well, but think about the actual total pie size.
So let's. Just say that you know 10 of the pie is being fought over by you know a dozen or so chains. Then, if the pie is big enough, it's still worth it right. It's. It's still. You know you see this like search engines, for example, like you know, duckduckgo it's, pretty small search engine, but there's, a lot of online search activity that still justifies its existence and they're.
They're doing well. You know what i mean uh same thing with like bing same thing with uh. You know any other smaller search engines when almost everybody uses google, so it's. It's. A very nuanced conversation.
Okay, um and, like i said i could be wrong about my thesis with that um i don't, say it with a ton of confidence, but that's, that's. What i see is probably likely this case. Somebody says what exactly is layer, two um, so layer.
Two is a second layer built on top of ethereum that derives security from the base ethereum chain. So basically, this is a way to scale ethereum make it faster, make it cheaper to use without having to wait for ethereum 2.
0, and we ' Ll also have a long term on ethereum 2.0, so basically um one of the biggest complaints about ethereum is too slow, too expensive. Well, if you build a layer, two, it's, a second layer on top of the block chain that handles a lot of the computation um it makes it faster makes it cheaper and the result of that settled on top of the base chain.
Okay, so we're, seeing layer, two solutions be developed in full force. There's, lots of competition in this space, and i think you know mid-summer. We're gonna start, seeing layer, two really heat up and you're gonna be able to jump on apps and start using layer two and it's.
Gon na be awesome. I think i think summer is gonna be crazy for the ethereum space somebody says: uh just join loving the doge pump, robinhood and crypto.com seem to be blocking, buys anyone else. Having the same thing, that's crazy! Oh, do we have tokenized doge on defy? We, i thought we, i wonder.
If we do like, can you trade doge on uni swap like an erc20 version of doge? I don't know i don't. I don't really jump into the doze hype, but uh. If we don't that'd, be probably a benefit. Somebody says doge is about to pop again it's, consolidating it might.
Somebody says: eat 2.0 will still be inferior to other blockchains, with no support for that statement. Uh somebody says wrapped doge yeah that's. What i'm talking about raft doge. Can we trade on a new swap someone says? No, you can't trade dojo on your new swap, i mean i know you can't actually like connect the doge blockchain to uni, swap.
I know that i'm, saying some people will like tokenize their cryptocurrency and put make an erc20 token version of it and put it on ethereum so that you can trade our new swap. This happened all the time.
It was kind of ironic. We see like the eat killers, uh tokenize their assets if you trade it on your swap like oh my gosh, the irony both grow and coexist long-term. I think so so. Mrs am i invested in doge.
I don't hold any doge. What's? My prediction about doge after one two weeks: no idea it's, i don't, think anybody can really predict what's gonna happen with doge. At this point, this is totally surprised me.
It surprised everybody uh, i'd, be i mean not financial advice. I'd, be a little scared to buy at a doge right now. At this price level it's, got a long way to go down it's, gonna say the defy on bitcoin um.
Maybe we'll see, i doubt it. Somebody says doge is on the book. As on the uh dive, now yeah, it might be, let's, go check it out actually, and we'll wrap up for today. So let's check on the last doge price here so 0.
- Let's, see here: yeah yeah, we'll, see we'll see it could just be a little temporary correction there, all right everybody, so that's. All i've got for today. As always, smash that, like button down below for the youtube algorithm subscribe to this channel, if you haven't already, if you like these videos, uh you're as fascinated as technology as i am.
How can you get your hands dirty today? You got my youtube homepage. You can find any of my free courses there. I like you to be courses, but they're totally free. If you like those, you want to take the next step or hey.
Maybe i'll. Take a massive shortcut entirely. I should become a blockchain master step by step start to finish over at dap university dot com forward, slash boot camp, all right, so my camera kind of freaks out when i do that uh anyways you don't, be an expert to get started Today, i thought people with zero coding experience become real world blockchain developers in a matter of months.
Alright, so that's. All i've got until next time, thanks.