Sup, nerds!

Here’s what you’re getting in today’s edition:

• 💅 This is cool: This token climbed $250 > $32k in a week

• 🔎 This seems important: Bitcoin is on the verge of making history

• 🤝 Partner: We're up 896 Big Macs right now 🍔​

• 🔪 Let's dissect this: It’s raining tokens! (And not in a good way)

Terms used in this edition (click for an explanation, or ​ask Web(GPT)3!​):
NFTs.

💅 This is cool:

Bitcoin Went From $250 to $32,000 in 7 Years — This Token Did It IN A WEEK.

In one sentence: Pandora, the first (so-called) ERC-404 token, went from $250 to (get this) $32k in the first 10 days of Feb — it took BTC 7 years to make the same jump in coin price!

When you walk into McDonald’s - what’re you ordering?

• A Quarter Pounder?

• A Quarter Pounder combined with a Big Mac?

• Two kilos of nuggys and a half gallon of Big Mac sauce?

Probably depends on your mood and appetite, right? But whichever option you choose — you’re still dining at Macca’s.

Same goes for ‘ERC standards’ on Ethereum.

Each standard is like an option on a menu — ERC-20 issues plain old Ethereum tokens, while the ERC-721 standard is responsible for creating/issuing NFTs.

But whichever option you choose - you’re still buying crypto assets on the Ethereum network.

Well, recently, someone added a new menu item to the ETH ecosystem, called ERC-404 — and it’s the Ethereum version of ‘a Quarter Pounder combined with a Big Mac.’

ERC-404 takes features from ERC-20 & ERC-721, and mashes them together.

The result? Fractionalized NFTs.

What does that mean? You know how when you buy Ethereum (an ERC-20 token), you don’t have to buy a whole token? You can buy a fraction if you want — say .10 ETH (~$250). But when you buy an NFT — say, a Crypto Punk — you’re buying the whole thing (~$150k) or nothing at all.

ERC-404 aims to combine those functions together, so folks can buy fractional shares of an NFT.

(Opening up a whole bunch of new use cases, e.g. NFT real estate — mint a property as an NFT → let buyers purchase fractional share of it, from $1-$1M+)

ERC-404 isn’t even an official standard yet, and the market is already running with it.

Pandora, the first (so-called) ERC-404 token, went from $250 to (get this) $32,000 in the first 10 days of Feb!

(It took Bitcoin 7 years to move the same distance in coin price — though to be fare, Pandora has a total supply of 8k tokens, vs. BTC’s 21M).

Still, that’s WILD.

🥇 Want the news before anyone else?

🔎 This seems important:

Bitcoin is on the Verge of Making History (But It Just Hit a 618 Meter High Wall)

In one sentence: BTC just hit its ‘golden fib’ level at $48,550 — if it breaks it before the halving, it will be the first time in history (and we could be on our way to new all time highs).

That debate we’ve written about three times in the past few weeks?

(Will Bitcoin crash or skyrocket before the halving?)

It is he. ting. up!

One of the foundational tool sets in financial chart analysis, are ‘Fibonacci levels’ (which are based on Fibonacci sequences — the same ones you used to have to study in high school).

And there’s one line on the Fibonacci charts that has never been crossed before the Bitcoin halving (which is due in April of this year).

This level is known as the 0.618 level, or the ‘golden fib.’

Historically, Bitcoin has always tried to moved up towards the golden fib level in the lead up to the halving, but then collapsed -30% or more (before running up to all-time-highs).

This time around — the golden fib level sits squarely at $48,550.

…and guess who Bitcoin kissed this past weekend — $48,535 (the dirty dog)!

So now the market is waiting with bated breath — will BTC break the golden fib and make history!? Or will it collapse as past performance dictates??

Only time will tell ¯\_(ツ)_/¯

(And if you think all of this ‘golden fib’ level business sounds weird — you’re right, it is!)

Remember: technical chart analysis is just astrology for finance bros.

That said…it kinda works. Not well enough to give perfect predictions, but enough to give hints at potential outcomes, with varying percentages of certainty.

If you need us, we’ll be sitting in a dark room, feverishly refreshing our CoinMarketCap app…

🤝 Partner:

We're Up 896 Big Macs Right Now 🍔

Remember when we said we wanted to see if we could turn $5k into $10k by investing in crypto projects?

We invested an average of $100 per week, over 12 months - and documented it all.

What tokens/DAOs we were buying, why we were buying them, and the tools/platforms we used to do so.

All written in plain, easy to digest, English (that’s kind of our ‘thing’).

Fair warning: this isn’t some shiny crypto masterclass, featuring pros that have millions of dollars to play with.

It’s a rough and ready learning experience, played out in public - where we've taken the financial risks, so you don’t have to.

If you want to read through all 25 crypto project deep dives, hit the big red button below.

Oh, and now you can get 20% off the full set of reports too👇

🔪 Let's dissect this:

It’s Raining Tokens! (And Not in a Good Way)

In one sentence: Aptos, Avalanche, and Sandbox all have token unlocks this month, which means increased/diluted supplies and potential sell pressure (be careful out there folks).

This month a bunch of crypto tokens are unlocking (aka: being released into circulation). 

Which may seem peculiar because they aren't new coins.

They’re coins that were just locked from the public. 

For instance: 

On Wednesday, SAND will release 9.19% of their overall supply into circulation, accounting for over $96M worth of The Sandbox’s gaming token. 

(With Aptos and Avalanche running unlocks later this month).

And, you may ask “why did they not release all of the tokens at once?”

Well, similar to your weekly allowance as a kid, if you’re given $100 to cover the next month — you might spend it all at once.

But if you’re given $25 a week for 4 weeks, it seems to last a lot longer even though the parameters are the same. 

Same goes for crypto projects: 

Teams meticulously plan the launch and release of tokens into circulations to hopefully ensure a token’s price stability and long term health.

But the one thing they can't plan for is the price of their token after an unlock. Tokens being released en mass means that the overall supply rises, and often results in a big push to sell. 

Which means, over the next month, these tokens may have to battle some pretty heavy sell pressure.

And we sure will be watching to see how it all shakes out.

What is a Liquidity Pool?