July 21, 2025
I looked into the background of the Ethereum version of MicroStrategy, and currently, the company purchasing the most Ethereum is a US-listed company called SharpLink Gaming. Initially, it was a service provider focused on sports events, but it began restructuring its business last year, gradually shifting from traditional betting technology to blockchain asset allocation and Web3 strategy, actively purchasing Ethereum as company assets. Currently, the company has acquired more than 300,000 Ethereum, worth 1 billion, achieving dozens of points in returns, which has attracted other US stock companies to join the Ethereum allocation camp.
Driven by the strength of Ethereum, mainstream altcoins are following suit. Why do mainstream coins rise when Ethereum goes up? Because in decentralized exchanges like Uniswap, many LPs paired with ETH, such as UNI-ETH, will see their USDT valuation rise when the price of ETH goes up, although some of the gains will be wiped out by arbitrage. Additionally, the rise of Ethereum evokes memories of the DeFi summer, expecting a revival of Ethereum chain applications. In fact, as the price of Ethereum rises, the activity of dapps has already begun to gradually increase; for instance, the trading volume of both Uni and Sushi has increased significantly.
With Ethereum's strong momentum, Bitcoin's market share has started to decline from the peak for the whole year of 2024, which is 61.53%. In fact, this market capitalization ratio is still very high. In my opinion, as long as this value does not drop below 50%, the market cannot be considered crazy. Looking back at historical data, we can see that during the most frenzied times in 2017 and 2021, Bitcoin's market share dropped below 40%. This indicator can also serve as a reference for our bull market exit; if the market share returns to 40%, we should definitely exit completely. However, I feel this is quite difficult; I will make my final retreat at 45%.
Looking at the trend of Ethereum, it is still very strong, basically only a few points of small pullbacks, which quickly rebound. Since many of the allocations by US stock companies were completed earlier, this market, in my opinion, is not just about US stock companies buying in, but very likely a rally action by the main forces of Ethereum. If this is true, then breaking through the high point of 4800 is not difficult. Conversely, we can also use this as a reference; if a real breakthrough occurs later, the return expectations for Ethereum could further increase, and 8000-10,000 may not be a luxury dream.
Thank you for your attention and likes. #MichaelSaylor暗示增持BTC
