Bitcoin continues to be on a tear…
It’s far and away the best-performing asset year to date, according to Goldman Sachs. It’s outpaced gold, the S&P 500, and the Nasdaq.
The short-term cause behind bitcoin’s rally is the current banking crisis.
For years, I’ve predicted bitcoin would be seen as a safe haven from the traditional banking system. And that’s what we’ve seen recently.
Since March 8, we’ve seen three major U.S. banks collapse.
Last week, global banking giant Credit Suisse needed a lifeline from the Swiss central bank to prevent it from going belly up.
And many regional banks are starting to buckle under the pressure of bank runs.
The Financial Select Sector SPDR ETF (XLF) – a proxy for the U.S. banking industry – is down 7.5% since January 1.
Meanwhile, bitcoin is up 74% since January 1. Other altcoins are up even more.
The banking panic is sending depositors fleeing to bitcoin and other cryptos.
It’s no surprise why…
Bitcoin is no one else’s liability. As long as you custody your own bitcoin, it’s free of counterparty risk. In addition, it’s impossible to dilute bitcoin’s value beyond its preprogrammed creation schedule.
While bitcoin is set to be a huge beneficiary of this banking turmoil… And I expect it to go much higher from here…
I’ve been warning you that it’s not yet the right time to buy into the broad crypto market.
That’s because there’s a panic coming to crypto like we’ve never seen before.
And if you’re in the wrong type of cryptocurrency, you could be making one of the worst financial mistakes of your life.
This Catalyst Could Trigger a $40 Billion Buying Panic
After the big crypto rally we’ve seen the past few days, I can’t blame you if you’re confused by my warning.
Yes, cryptos are on fire right now. People are turning to them because of the problems in the traditional banking sector.
But the panic I’ve been warning you about will be different. Instead of a typical panic that leads to mass sell-offs, this will be a “buying panic” of epic proportions.
The event I’m talking about involves Ethereum (ETH).
You see, the next stage of transformational software development will happen on the blockchain… not the traditional internet. And Ethereum is the world’s most widely used blockchain development platform.
Over the next decade, I believe Ethereum has the potential to grow into the world’s most valuable software development platform.
You see, there’s a huge catalyst on the horizon for Ethereum. And it could start by April 12.
The catalyst is Ethereum’s Shanghai upgrade. And it has the potential to unlock a $40 billion income opportunity for Ethereum token holders.
It all has to do with crypto “staking.” Staking is a way of earning rewards for holding certain types of cryptocurrencies.
And the Shanghai upgrade will enable Ethereum stakers to withdraw their tokens whenever they’d like.
Since December 2020, Ethereum staking has been a one-way street. You could only deposit assets and had no way to access your capital until this upgrade.
This will be bullish for ETH because it lowers risks involved with staking… and opens the door to institutional capital to stake Ethereum.
My research suggests the flow of Ethereum will reverse quickly back into staking to earn income. And when this happens in the months following the upgrade, we expect higher token prices heading into the second half of 2023.
And that will ignite a buying panic in Ethereum and the tokens closely associated to its ecosystem.
How will it unlock $40 billion in income opportunity?
Right now, there’s roughly 16 million ETH staked… And stakers earn roughly 4–6%.
But during periods of high network activity – like we saw in the days surrounding the FTX exchange’s collapse – this yield climbed above 10%.
When the bull market resumes, we can expect network activity to explode higher – like it did from 2020-2021.
That would translate to roughly 1.6 million in ETH paid to stakers annually. Or $2.8 billion in income if Ethereum remains at $1,800.
However, we believe Ethereum could soar to $25,000 during the next bull market.
That’s more than a 5x increase from its previous all-time high.
If so, we could see roughly $40 billion annually paid to Ethereum stakers.
If $40 billion in yearly income sounds crazy, just remember we’re currently sitting at $1 billion in the middle of a bear market – when network activity is extremely low.
So $40 billion isn’t some pie-in-the-sky number.
We saw a similar situation play out during the bitcoin halvings…
The halving happens every four years. And each halving reduces supply coming to the market.
The first halving occurred in 2012, the second in 2016, and the third in 2020.
After the first halving in 2012, bitcoin’s price rallied 9,200%.
After the second halving in 2016, it soared 2,900%.
And since the third halving in 2020, it’s soared as high as 681%.
I believe the coming crypto panic will bring even larger gains than the past bitcoin halvings.
But while bitcoin halvings happen every four years… Ethereum developers programmed the Shanghai update to happen only once. So you must act now to take advantage of it.
This Sector of Crypto Will Get a Slingshot From ETH
Many investors are making a mistake. They’re using this current crypto rally to speculate in meme coins and a bunch of other fraudulent projects.
This coming panic will wipe them out… But not in a way you’ve ever seen before. The next huge rally WILL NOT carry the whole market up like they did in the past.
This time, just a tiny fraction of the crypto market will benefit. And if you don’t own these tokens, you’ll get crushed. But if you do, you’ll have the potential to make a killing from this buying panic.
Unlike most cryptocurrencies, these tokens are programmed to pay you monthly income on top of capital gains. And they’re set to benefit from a surge of activity coming to Ethereum as early as next month.
To prepare you for this coming panic, I held a special briefing last night called The Crypto Panic of 2023.
During this briefing, I explained how the ETH buying panic could potentially turn $1,000 into an entire nest egg… All while these coins pay you each month.
For a limited time, you can watch the replay right here.
Friends, this short-term rally in crypto is just the tip of the iceberg.
My research suggests the Shanghai upgrade will potentially unleash an epic buying panic in crypto greater than the bitcoin halvings.
But you must be in the right positions to take advantage of it.
Just click here to watch the replay of my briefing.
Let the Game Come to You!