Heat the olive oil in a large pot over medium heat until shimmering.
Add the onion, carrots, garlic powder, onion powder, Italian seasoning, salt, oregano, and crushed red pepper to the pot.
Cook, stirring, until the vegetables are soft and tender (approx. 5 minutes).
Clear a space in the middle of the pot and add the tomato paste.
Cook the tomato paste, stirring, until browned (approx. 3 to 5 minutes).
Deglaze the pot with balsamic vinegar, scraping with a wooden spoon to bring the fond up off the bottom of the pot and into the sauce.
Add the crushed tomatoes and fresh basil (if using) to the pot, turn the heat down to low, place a lid slightly ajar on the pot, and allow the sauce to simmer for at least one hour.
Taste, adjust seasonings as needed, puree with a hand blender (if desired) and serve.