Thursday 10 September 2020

ETH/BTC Risk Strategy

The valuation of Ethereum against Bitcoin is somewhat complicated, and a not so intuitive feeling behind what constitutes high vs. low risk. It all depends on the rate at which the valuation reaches certain levels that can determine what I deem the "risk" of the ETH/BTC ratio. In the video we talk about a dynamic DCA strategy that can be used to systematically DCA into and out of Ethereum with respect to Bitcoin, rather than stable coins. Going back to Bitcoin can sometimes be useful during a bull market because it still gives you that cryptocurrency exposure, while reducing your risk on an asset that has climbed too high too quickly. TA Video by Benjamin Cowen.