Ethereum vs Polkadot Review
Ethereum vs Polkadot Crypto Review
Ethereum, Polkadot, and Cardano are the three biggest blockchain projects in Crypto. The crytpo masterminds of Vitalik, Hoskinson, and the good doctor, Gavin Wood, these are the three leaders of the crypto platforms that will change the world and the internet forever. We’ll just call it the “Crypto Trinity” because they are all deeply connected. Today, we explore why each of these projects are so incredibly important to the fabric of cryptocurrency, and we analyze which one of these three you should be putting your hard-earned money into.
BitSwap is the hottest new way to trade tokens. Crawling all the top decentralized finance exchanges, BitSwap gets you the very best price and value for your trades. BitSwap is changing the game. Try it now at bitswapdex.io.
Welcome to Crypto Swami! We provide bitcoin and cryptocurrency news. We show you how to make money in cryptocurrency. If you like money and crypto, make sure to share our website.
And if you’re a fan of ETH, DOT or ADA Bybit often has Bitcoin trading competition going on. You can still be part of the contest and stake your claim to win one Bitcoin. You can get all the details on the contest on bitboycrypto.com/deals.
Now, in this video, we’re going to begin breaking down the crypto space race. There are three main horses vying for the title of top decentralized smart contract platform.
And bettors are laying down big bucks to choose which one of these three will take the checkered flag. At the end of this video, I’m going to give you my exact thoughts on these three competitors and which one I’m betting my hard-earned money on during this cycle and which ones maybe for the next cycle.
For this video, we aren’t going to focus so much on the crypto exchange platforms themselves. The tech or what they’re doing but strictly on crypto investment strategies for each of these three. Now, if you want a crypto news video where we compare the platforms and long-term usage potential for all of these crypto coins, then make sure to save crypto swami. I’m assuming we’re probably going to do multiple bitcoin and cryptocurrency videos in this website. But if there isn’t a lot of interest, then we will just stick to the price potential of each crypto currency coin.
So, we have to start at the beginning before we actually begin comparing the decentralized cryptocurrency platforms. This is a brief history on how these three projects came to be and how they’re all connected. 2014: Ethereum launched. The co-founders of Ethereum were Vitalik Buterin, Charles Hoskinson, Gavin Wood, Anthony Di Iorio, Amir Chetrit, Jeffrey Wilke, Mihai Alisie and Joseph Lubin.
Only Vitalik Buterin is still associated with and working on Ethereum.
This is why he gets pretty much all the credit from the public eye. Two of the other co-founders, Charles Hoskinson and Gavin Wood, have now started their own blockchains, Cardano and Polkadot respectively. There are a lot of rumors and legitimate reasons that the eight co-founders have gone their separate ways, but many believe simply revolves around ego. Each of the eight men with alien-sized brains are pioneers in the space. And they’re all incredibly rich.
When you make it big time, many people develop large egos and believe that they were the integral part of the success. When you look at the success of Ethereum, all eight men would love to stake claim that they were the integral piece. But many of the ones who left do not want to be associated with Ethereum’s flaws and shortcomings. Anyone in crypto knows that Ethereum definitely has its flaws. These were evident from very early on.
We talk about Ethereum’s problems a lot on this channel, but we also recognize that these flaws do not outweigh its potential. These flaws include congestion, high gas fees and an uncapped supply. While the ETH 2.0 upgrade and the Ethereum Improvement Proposal 1559 are supposed to fix basically all of those issues, it might have been a little better to have fixed those on the frontend instead of on the backend after its 2014 launch. The fact is Ethereum is a revolutionary piece of technology in programming and introduced smart contracts and decentralized platforming to the world.
But due to its flaws, Hoskinson and Gavin Wood were able to build on what they did right with Ethereum and launch their own projects that also solved its problems. While Ethereum waits on the ETH 2.0 upgrade to be fully launched, which some people believe is actually going to be 2023, DOT and Cardano both are going to already be up and running in all their glory. And this is where the true battle is going to lie. 2021 is moon year.
I still believe that.
This is the bull run that those of us in crypto for a long time have awaited for years now. Some people will tell you that the bull run is over and topped out, but we still believe that we’re on the way up. But meanwhile, Ethereum itself is clearly still on an uptrend regardless of Bitcoin’s action. And I can tell you Ethereum is just getting started this year.
You’re a fool if you believe Ethereum, Cardano and Polkadot are not going to explode in price during a bull run.
This is a given. Now, how much will they each go up in price? Well, that’s very hard to say. I’ve said that Ethereum will go to $27,000 by the end of this bull run later this year.
I haven’t officially released updated price predictions on DOT or Cardano yet, but they’re coming within the next two weeks. If you want to see Cardano and DOT price predictions, make sure to smash the like button and drop your comments down below. But my Ethereum prediction is basically a 20X from where it is as of today. And listen. There’s a chance that by the time I put out price predictions for DOT and ADA, that they could be could be higher than 20X.
The potential, that is. But to me, as far as price goes, the value in investing in ETH over DOT or Cardano has a lot more to do with the downside volatility. We are seeing institutional investing into Ethereum.
In fact, many people including myself believe that we are seeing the value of Ethereum be split into two different camps. Ethereum is changing from only a platform utility.
Now, investors are looking at it additionally as a store of value, the same way we saw the Bitcoin narrative go from only an electronic version of peer-to-peer cash into digital gold, a store of value. We’re not seeing this with DOT and Cardano as of yet. But think about this. We would have never believed even at the peak of the 2017 bull run, or for Ethereum in January of ’18, that Ethereum would transform into an institutional investment vehicle, and yet here we are. And what happens when institutional money flows into something?
It doesn’t really flow out. Retail investors are the ones who have weak hands and sell. Old mining whales for the most part are the ones who push the price down. These institutions, corporations and now even universities turning toward crypto investments are buying them as hedges.
You don’t sell hedges when you have enough money for it to actually matter.
This means that when Ethereum peaks out in 2021, the drawdown for the market will most likely not be as deep. In 2018, Ethereum dropped an astounding 94%. It’s important you understand what you’re playing with here in crypto. Now, this is another reason why you have to understand the Bitcoin cycles. They paint you a picture of the best way to deal with crypto.
Buying bottoms and selling tops is difficult but a worthwhile strategy. Compared to Ethereum, Bitcoin dropped 85%, aligning with pretty much its average throughout time during bear markets, but not the worst drop it ever had. The point is, all of this institutional investing is very likely to ease some of this downside. I fully expect Bitcoin to fare much better than its previous bear markets. Instead of an 80-some-odd percent drop, I believe we will get much closer to a 50% drop for BTC.
Maybe instead of a 94% drop for Ethereum, we only see a 70% or a 60% drop for Ethereum. But most other altcoins, those without institutional investments behind them, will have monstrous drops. We’ve seen it all throughout crypto’s history. So, what about Polkadot and Cardano? How will they fare?
Of course, with Polkadot, we don’t really have much to compare it to considering the project has only been around in an official launch capacity since August of last year.
But with Cardano, we can look at some hard numbers from the last cycle. Cardano all-time high price was $1.16. In the bear market, it went as low as 1.
9¢, right under two pennies. That’s a loss of 98.36%. Playing with crypto can be like playing with fire. I will reiterate.
You have to know when to get out of the market. Lucky for you, I’m going to tell you when that is when the time comes because it is very difficult to know. Most likely October is going to be the end of the altcoin cycle. This will be the exit month. Maybe that gets baked in and September is the move.
We’ve talked about that many times before. Something else that we’ve talked about a lot is the altcoin season cycle. And we have looked at exactly how it all works. But this is all on the micro level.
This happens within individual bull market cycles.
It points within the bull market. When all the conditions are right, we see this chart play out. It starts with Bitcoin, then moves to Ethereum, then to small caps, and then to true alt season with smaller cap projects. But what if what if we see this on a macro level? The 2016 cycle is what was needed to bring Bitcoin out of the desert and into the mainstream.
This brought on institutional investing for Bitcoin. What we’re seeing in the 2020 cycle we’re in now is that the institutional money is moving into Ethereum. I think that gives it a huge leg up in the space race versus DOT and Cardano in the short term.
But what if the 2024 cycle is about large caps beneath Ethereum? The scarcity of Bitcoin and ETH will make it near impossible to get a big bag by then.
This is when the true potential for institutional investing could go into DOT and Cardano. This could take place. Then maybe by 2028, we see institutional investing in even smaller projects. And this, in a nutshell, is how crypto takes over the gold market and, yes, even the stock market. This is how Ethereum, DOT and Cardano become the next giant investment vehicles the way that Amazon, Facebook, Alphabet and now even Tesla stocks have become.
Now, I definitely want to do another video on this topic where we compare the tech side of things with the platforms between these three giants, but for this video, we covered the potential for investing in all three.
And this is what I will say to sum everything up. For the vast majority of you, Ethereum is going to be your best bet in the short term. Why? Because you aren’t going to know when to sell.
You aren’t going to begin selling most likely until the bear market has already kicked in. I know there are newer people here, and that euphoria will be too much for you to handle. You are much better off investing in something that has lower volatility in a bear market. And ETH most likely will see that during the next bear winter. However, for those of you savvy enough to know when to sell tops and are prepared for a bear market, Cardano and DOT both most likely have higher potential for mind-bending parabolic runs.
If you made me choose one right now between the two, I’m going to go with Cardano over DOT. Strictly from a price perspective, DOT has just had a massive run-up, and while I believe there’s still much more ceiling for it to run, Cardano has not yet even begun what I believe will be its parabolic run.
In terms of which platform I believe will be the biggest and best, well, you’ll just have to wait for that in the next video. Smash that like button if you want to see that and make sure to subscribe and hit the bell notification so you don’t miss it. I know I’m spitting facts here, but if you disagree with any of my logic on this, make sure to drop your comments down below.
That’s all I got. Be blessed. Crypto Swami out..