A widely followed crypto analyst is issuing a warning to investors that ‘vaporware’ Ethereum (ETH) challengers could drop down to zero within a year.
The pseudonymous crypto trader Altcoin Psycho tells his 428,000 Twitter followers that investors are misjudging the top smart contract platform’s ability to surge under the right market circumstances.
“People are severely underestimating ETH’s ability to go vertical in the right macro conditions.”
The strategist notes that most of the second-largest crypto asset by market cap’s vaporware layer-1 rivals, or competitors that have been announced but have yet to be fully developed and released, will vanish within a year at most.
Altcoin Psycho says that once the layer-1 competitors are gone, ETH should start building hype again as its switch to a drastically less power-consuming validation system is on the horizon.
“I’d say at most, we have a year left before vaporware copy-paste layer-1s go to zero. As they die off, focus will shift to ETH just in time for merger hype, which still isn’t priced in, in my opinion.
Also for what it’s worth, I don’t consider Solana, [Avalanche] or Cosmos to be vaporware… I believe the future is multi-chain…
I think there’s a lot of garbage out there that will phase out this year, and a lot of that money will flow back to ETH.”
In a recent video update, the analyst also says that Ethereum’s upcoming merger to a proof-of-stake system from a proof-of-work consensus mechanism could not only be a catalyst that helps ETH surge, but also one that lends a helping hand to layer-2s built on top of the leading altcoin.
“What can we do with the information if we’re bullish on ETH?
Well if ETH does well, then you know layer-2s on top of ETH will probably do really well as well.”
Ethereum is exchanging hands at $3,261 at time of writing, an 8.5% decrease from its seven-day high of $3,559.
I
Check Price ActionDon't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/mim.girl/monkographic
