Solana might beat Ethereum and become the new altcoin leader. It might happen quite soon, in the next crypto cycle, some analysts claim.
According to a recent post from Gumshoe, all the charts show that if the current bull market continue, Solana will continue to float higher than other altcoins.
Analyst notes that this will continue the trend seen from the better part of 2023. Solana kept rising from obscurity to become one of the top performers. It was even outdoing Bitcoin at times.
As of now, Solana is up 100% from January 2023 lows and roughly 8X from the pits of September 2023.
Sceptics might say that Solana is experiencing a kind of cool-off after the recent rally. But it is hard to deny the uptrend.
And there are some more factors that influence the whole picture.
Solana is quickly becoming a default choice for all kinds of mem coin deployers. Miscellaneous institutions tend to massively adopt Solana as their primary blockchain. Cheap and fast transactions are key features that drive the proccess. Solana boasts a theoretical throughput of up to 65,000 transactions per second (TPS).
Meanwhile, though Ethereum has the largest network, it can only process 15 transactions every second. That leads to higher transaction fees. Awaiting times for transaction on Ethereum can be pretty annoying.
PayPal, Visa and Stripe are in the list of Solana adopters already.
All that is happening even despite the ongoing challenges and legal hurdles.
United States Securities and Exchange Commission (SEC) has recently filed a number of lawsuits against Binance and Coinbase. SEC states that Solana is an unregistered security. That, by the way, might be a serious obstacle if Solana ever tries to get its own ETFs (exchange-traded funds).
The other problem here is the significantly under developed futures market. Its absence might be a problem for Solana ETFs either.