Coinbase Is Listed, Will Start the Second Half of the Bull Market
In yesterday's article, I talked about the boost brought by the drop in U.S. Treasury yields, and that Bitcoin was about to hit a new high. As a result, Bitcoin soon exceeded $60,000. Although it fell back and did not stand firm, it was only a matter of time before it stabilized at $60,000. What's more interesting is that Ethereum first hit a new high. As of writing, it has stood at $2,100.
The adjustment that started at the end of February is basically coming to an end, and the next upward trend is about to begin.
When the callback occurred at the end of February, I have written many times in the article that the deeper the callback and the longer it lasts, the better the development of the subsequent market will be. The good news is that this callback has been calculated for more than a month now. The accumulation and precipitation of this month will allow the two leaders of Bitcoin and Ethereum to accumulate enough kinetic energy to open up room for growth, and the rise of the two leaders will in turn open up space for other star currencies, thereby driving the entire market upward again. .
This will be the keynote of the next wave of quotations. And yesterday's news added a catalyst to the next wave of market rise.
Yesterday it was reported that Coinbase, a world-renowned digital currency exchange, will be listed on Nasdaq on April 14. It is conservatively estimated that the market value of Coinbase will reach 100 billion US dollars.
This incident will directly inject a shot in the arm for all exchange token movements.
First of all, it will stimulate the token prices of the three major exchanges that are also centralized exchanges: BNB, HT and OKB.
Let’s take BNB as an example. Its total circulation is 200 million pieces (after several rounds of buybacks and destructions, the current total is no longer 200 million pieces). If you simply compare it with the market value of Coinbase, the price of BNB will be about That's $500. Whether this price will actually be reached, we cannot pre-determine, but I believe the market must have strong expectations for this.
The price of HT and OKB will be boosted by this expectation.
Secondly, it will stimulate the prices of all DEX (decentralized exchange) tokens, the first of which is UNI, which has already entered the top ten.
We also benchmark by market value. The total circulation of UNI is 1 billion. If the market value is to reach 100 billion US dollars, the price of its tokens is expected to be 100 US dollars. As of writing, the price of UNI is less than $30. So with this expectation as a reference, there is not much room for imagination here.
Other DEXs such as Sushi, BAL, and CRV will all be boosted by this sentiment.
And the collective rise of DEX will drive the rise of other DeFi sectors.
That is to say, in the foreseeable future, we will see another explosion of DeFi.
Our analysis of the follow-up trends of these sectors above is based on Coinbase’s expected valuation of US$100 billion. However, since the timing of Coinbase’s listing is chosen in the current environment where the dollar is flooding, I estimate that various interested parties may create more room for imagination.
How to make it? Benchmark Tesla's price-earnings ratio.
The market value of Coinbase is expected to be 100 billion US dollars, and its price-earnings ratio is more than 300 times. If placed in traditional industries, this price-earnings ratio is astonishing, but it is nothing compared to Tesla's once highest price-earnings ratio of 1320 times. So there is enough space for stakeholders to create imagination.
If this is exploited, the market value of Coinbase may still have room to rise, which will once again stimulate the token prices of the three major exchanges and DeFi.
The above analysis of the price of each token is just an estimate, and we can only leave it to time to test what the market will eventually turn out to be. But the basic law of the market trend is clear:
That is, the two leaders of Bitcoin and Ethereum rose again, making room for other currencies. On the other hand, the listing of Coinbase will give other currencies a boost and stimulate them to keep up with the pace.
