Solana could experience the same price pump as Ethereum in 2018, according to expert Raoul Pal and chart data. Indeed, Raoul Pal notably declared that Solana could be the best performing asset in 2024.
Obviously, its recent pump beyond 90 dollars once again showed that the Solana ecosystem was still a competitor on track to dethrone the great rival Ethereum.
Solana and its builders
One of the most important aspects in the development of a blockchain is obviously its developer community. This is an aspect that is often too ignored by investors. Indeed, the price of a crypto does not always accurately reflect the state of a blockchain crypto.
“There is a lot of activity on Solana. There are a lot of people building, there are a lot of projects. Solana’s speed is indisputable. And then we have Firedancer which arrives at the end or beginning of the year, which is a complete and total step change for blockchains. So this brings Solana’s potential from 650k TPS to 1.2 million. And I see Solana as the only blockchain company that is really pursuing mass adoption of crypto.” declares the economist Raoul Pal.
According to the analyzes by ChandebriefSolana has experienced a growth rate in terms of developers in 2023 by +83%. It is in this context that in terms of developers, Solana sits just behind the leader Ethereum. Although the latter is still far ahead of the others, Solana shows a similar trend to that taken by ETH in 2018.
With over 5,758 developers (and more than 14k in ATH) Ethereum therefore had 2.8 times more active devs than Solana, in March 2023. As a reminder, Ethereum had experienced a pump 10 dollars to over 1100 dollars between 2017 and 2018. At that time, the number of developers also followed the same trend, increasing from around 2,700 to 6,100.
It is in this context that the growth in the number of developers can be an indicator of a future price pump. Conversely, a fall in price is not synonymous with a fall in the ecosystem.
“2022 saw an all-time high in the number of new developers at 61,127 and an all-time high in the number of new developers in the Ethereum ecosystem. The number of monthly developers did not decrease despite the bear market and the reduction in network value, a 71% reduction in network value only resulted in an 11% decrease in the number of developers, this which means developers are here to stay.”
To the extent that the Solana ecosystem has not slowed down its development despite its catastrophic fall at 8 dollarsthis shows bullish signs and similar to the ETH blockchain. Devs are here to stay!
Solana is booming and can overtake ETH?
Some smart people tell me there is an earnest smart developer community in Solana, and now that the awful opportunistic money people have been washed out, the chain has a bright future.
Hard for me to tell from outside, but I hope the community gets its fair chance to thrive🦾🦾
— vitalik.eth (@VitalikButerin) December 29, 2022
Furthermore, Solana’s trajectory is highlighted and followed by the adversary and co-founder of Ethereum.
“So I simply traced the ETH chart in 2018 and then compared it to the Solana chart. It is almost identical. ETH made a 47x of this low, and we fell to $8 at Solana. So the current price is completely wrong.” declared Raoul Pal.
According to him, many traditional investors could enter the Solana ecosystem. Notably by its development, but also by its activity which confirms an ecosystem and an active and living community. Indeed, according to the data, the number of transactions on Solana reached the 4.8 million over the last 30 days of 2023. That is approximately 5 times more than on ETH (900k).
In short, Raoul Pal announces a battle between Ethereum and Solana as “Apple versus Android”. Indeed, the Solana network has several times been called the “Apple crypto”.
“Solana looks like Apple. It’s a closed system, but it’s very good and will create great loyalty. Ethereum is much larger and more open to building possibilities. But I just think there’s a big possibility in terms of the value of the Solana network as opposed to the Ethereum network.” adds Raoul Paul.
Here are some key figures that show bullish interest on Solana compared to Ethereum:
- Solana’s 30-day NFT sales volume reached $320 million with a pump +232%. Over the same period, Ethereum counted 357 million of trading volumes
- On December 22, 2023, Solana counted one ATH of 946k active addresses daily, exceeding the 370k of Ethereum.
A x100 pump in 2024?
Everyone wants their bags, their NFTs, their memecoins, etc to go up in price
It’s easy to support when price is moving up, it’s harder when you’re down 50%
But the communities that don’t give up will always be the most successful
Look at the Solana community as an example,…
— Marc Colcer (@marccolcer) January 1, 2024
One of the most important aspects is that Solana is building a consumer-facing blockchain. This is also why it is compared to Apple. In addition, thanks to their updates, including Firedancer, it will be possible to create a million NFTs for just 100 dollars.
Solana’s competitiveness could push it towards a blockchain with hundreds of billions of dollars in assets. As tokenization is exploding thanks in particular to RWAs, the Solana blockchain could attract immense capital in 2024.
And the data clearly indicates that developers are building fiercely behind the curtains of the crypto scene. As a result, Solana could become the biggest surprise of the year 2024. Indeed, the big difference between Solana and Ethereum, as indicated by the co-founder of Solana Anatoly Yakovenkois that it is building a giant blockchain rather than an L2 network which could, according to him, become “a challenge more than anything else”.
And to conclude, we must not forget that a blockchain depends above all and above all on his community, both from developers and also from users. And Solana seems much more optimized from this point of view than Ethereum.
Source: Original
On the same subject :