"Will eventually convert to Bitcoin": Why are even altcoin founders selling for BTC?
Original title: ALERT: Altcoin founders are dumping their tokens to buy bitcoin
Original author: Anthony Pompliano, well-known crypto KOL
Original compiler: xiaozou, Golden Finance
After nearly a decade of struggling with Bitcoin and crypto, you thought you'd seen everything that could happen, but occasionally something new would pop up that would blow your jaw drop. That's exactly how I felt yesterday when I saw a recent video of Cardano founder Charles Hoskinson's conversation. Hoskinson spoke about selling altcoins in the Cardano treasury to buy Bitcoin.
This video is eye-opening for three reasons. First, Hoskinson essentially admits that his altcoin can't compete with Bitcoin in the long run. The only way to create long-term economic value is to sell altcoin assets and buy Bitcoin. This seems to indicate that altcoin founders have realized that Bitcoin will never go away.
Second, Hoskinson seems to understand that the Bitcoin Treasury Corporation is launching a speculative attack on Bitcoin. These companies buy Bitcoin by selling their shares, so altcoin foundations have the same ability to sell altcoins for Bitcoin. This theory of "speculative attacks," popularized by Pierre Rochard in 2014, has become one of the most important concepts driving Bitcoin adoption in recent years.
The third point, perhaps the most intriguing, is that the superior performance of the Bitcoin Treasury Company has been too bright to ignore. In the case of Metaplanet, Simon Gerovich, Dylan LeClair and their team have created one of the brightest performing stocks in the world. In just over a year, the company grew its balance sheet Bitcoin holdings from zero to 10,000. The pace of development is breathtaking.
Imagine that you now hold hundreds of millions of dollars worth of altcoins, only to watch them continue to depreciate in value in front of Bitcoin. It's natural to start thinking that selling altcoins and switching to Bitcoin might be a way to increase your assets. This is no different from selling off a depreciated dollar or shares of a public company. We are witnessing this speculative attack infiltrate every corner of the financial world.
All are eager to get their hands on Bitcoin and are willing to sell any asset in exchange for more Bitcoin. This has always been the core proposition of Bitcoin believers that hard currencies will eventually absorb capital like a black hole – and it's exciting to see this theory come true around the world.
If you think Bitcoin is nearing the peak of the cycle, remember: Bitcoin still has a long way to go before it catches up with the global M2 money supply. Raoul Pal recently noted that "89% of Bitcoin's price action is tied to global liquidity."
This means that Bitcoin could hit $150,000 in the coming months, but after all, no one has a crystal ball that predicts the future, so let's wait and see. Bitcoin is infiltrating Wall Street in all sorts of new ways, and people are hoarding this digital asset as much as they can. And it's a good idea to launch a speculative attack, especially if you're sitting on an altcoin.
Link to original article