Key Insights:
Crypto markets are best understood by founders who first pioneered them. They understand the pulse of the bull market much better than anyone else.
Several of these executives, founders, and advisors from leading Web3 companies have demonstrated a clear preference for a specific cryptocurrency. Whoever has a considerable portfolio, has preferred Ethereum over Bitcoin and all other altcoins.
Does this suggest that during this current bull rally, other altcoins experienced bullish trends without clear justification?
We have analyzed the crypto portfolios of Vitalik Buterin, Justin Sun, Brian Armstrong, and Charlie Lee and have found a clear preference for ETH as their main investment.
Vitalik Buterin prefers only a single L1 crypto in his portfolio. Almost all of his holdings were in ETH as per the data by Arkham Intelligence.
As of 28 Feb 2024, he held $812 million worth of ETH in his portfolio whose net worth was $814 million. A few other cryptocurrencies held by Vitalik were KNC, DINU, SDOG, THE, USDC, and INDSHIB.
On 27 Feb 2024, Justin Sun claimed on X, that his crypto portfolio had 28613.736 Bitcoins which were roughly valued at $1.62 billion. He also claimed that he holds all of his assets on the HTX exchange, where he acts as a global advisor.
However, his claims were found to be somewhat wrong when another X user showed how the total no. of Bitcoins on HTX is lower ($1.34 billion) than what Justin Sun claims to be in his portfolio.
The user concluded that either Sun was lying about where he holds his Bitcoins or Sun was the only customer at HTX.
In case, Sun holds all his Bitcoins on HTX, it should have at least more Bitcoins than Sun's portfolio because HTX had 9 million users as of Sept 2023.
As per Arkham, most of his holdings were in TRX at $304 million and he held just around $94 million of Bitcoin. His total crypto portfolio worth, as per Arkham, was at $1.181 billion.
Brian Armstrong who currently serves as the CEO and Chairman of Coinbase, a company which he founded too, has a salary of $7.5 million.
Surprisingly, as per Arkham Intelligence, he holds only about $1.3 million worth of cryptocurrencies in his portfolio, none of which belongs to Base, a cryptocurrency issued by Coinbase.
As per his portfolio, Brian held most of his crypto as ETH and HXA, the rest of the holdings were negligible. His portfolio whose value is around $1.3 million, contains $993k worth of only ETH. He also holds $335k worth of HXA
It can be argued on a moral basis that founders and other executives should not hold a large chunk of project tokens. However, that does not mean that project founders have zero stake in their own issued cryptocurrencies.
Litecoin founder Charlie Lee has only $21,480 worth of cryptocurrencies most of which lie in ETH.
Surprisingly, he does not even hold one full Litecoin(LTC) in his portfolio. His LTC holdings were at $73.64.
From our analysis of top crypto portfolios of executives, who were as deep into crypto as one could go, we found that most of them had a major component of their net worth in ETH. This was true even when their project was supposed to be a competitor to ETH.
However, it was not surprising that most of them prefer ETH since Ethereum had a lot of things lined up in 2024 including the upcoming Dencun Upgrade, Dank Sharding, and the Surge. Yet, preference for ETH in all these portfolios indicates that being bullish on every other cryptocurrency just
Fundamental analysis favours ETH at the moment. With Proto-Dank Shading (Dencun Upgrade), its gas fees might be reduced by a huge margin. This could make Ethereum the most preferred blockchain. Further upgrades would make transactions even cheaper which could essentially kill the market for layer-2 solutions.
On the technical analysis front, we think that ETH might continue its rally. This is because of the strong fundamental patterns and indicators.
Taking a look at ETH's daily charts, we can see that the price is on an upward trajectory which appears to have just grown stronger.
Further, indicators like MACD and RSI are indicating a strong momentum with RSI crossing above 80 which is considered super bullish. However, there is a slight risk of reversal as RSI is typically not stable at these levels.
It would be best to buy Ethereum on dips for long-term accumulation.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.