Ethereum’s main rival could blow up 100%, outperforming other large-cap altcoins, Coin Bureau says: here’s why
A popular analyst known for his deep-dive research is laying out what could be on the horizon for a top competitor to Ethereum (ETH).
In a new strategy session, Coin Bureau’s pseudonymous presenter known as Guy He says its 2.09 million YouTube subscribers who believe the Solana Layer 1 Protocol (SOL) could double in price if the broader altcoin rally continues.
“SOL price action also looks interesting from several angles. In terms of raw price action, SOL could potentially pull 2x if the current recovery rally continues. This doesn’t sound like much, but if the rally continues, it would be a higher percentage gain than other large-cap altcoins.
That is why there is some legitimacy for [FTX CEO] Sam Bankman-Fried’s comment that Solana is underrated. There is more evidence to suggest that SOL could see a serious rally if the current crypto market momentum continues.”
The analyst also discusses Ethereum’s transition to a proof-of-stake (PoS) consensus mechanism that is scheduled for mid-September. He believes the prospect of glitches or outright failures is piquing the interest of several other ETH rivals, including Avalanche (AVAX) and NEAR Protocol (NEAR).
“Some of you may have noticed that Solana, Avalanche, Near Protocol and other so-called Ethereum killers have been gathering as the merger approaches. This is not a coincidence, as there are many traders who are probably trying to hedge their portfolios in case something goes terribly wrong with the merger.”
Guy concludes by examining the price of SOL on the ETH trading pair, noting that Solana appears to follow a pattern of troughs and rallies where a peak could coincide with the next Ethereum meltdown.
“Take a look at the SOL versus ETH chart in the weekly. Do you notice something? Call me crazy, but I see a pattern where SOL loses value relative to ETH for about five to six weeks at a time, before seeing a one to three week rally against ETH.
It’s been six weeks of decline, and with the Meltdown less than a month away, we could see another multi-week rally against ETH, all while ETH is simultaneously gaining value relative to BTC. [Bitcoin], and hopefully in fiduciary terms, too. This would translate to that 2x gain for SOL that I mentioned.”
At the time of writing, Solana is down 4.57% and is trading at $38.67. With Ethereum priced at $1,821, SOL is currently equal to 0.02123 ETH.
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source: dailyhodl.com