As I write this, bitcoin is trading at $9,770. That’s up from $9,283 one week ago. Ethereum is trading at $219, which is up from $178 one week ago.
I believe bitcoin continues to lead this bullish price action. Altcoins are starting to participate more, but I’m still cautious on them overall. We haven’t seen enough growth in real-world usage of most altcoins to justify a big move up in price yet.
Bitcoin is making huge progress in terms of its network hash rate. Bitcoin’s Lightning Network is making serious progress. Institutional investors are finally coming into the market and buying bitcoin. And I believe institutional investors are looking at bitcoin as a very long-term investment.
Bitcoin is fulfilling its purpose as an alternative store of value, all over the world.
So for now, my thesis remains this: Altcoins will follow along with the bitcoin bull run but underperform by a wide margin on average. There are simply too many low-quality projects out there to compete with bitcoin on the aggregate.
I wish this weren’t the case, but I’m simply calling it like I see it.