Solana (SOL), which made it into the top 10 crypto market cap by market capital, reached a new all time high of $ 80 in the last day. SOL trades at $76.38 as of this writing with a 15% profit on the daily chart.
Solana has not shown any reaction to the drop in price of most of the top ten cryptocurrencies. NewsBTC reported that SOL recorded a profit of over 140% in the last month. This suggests that SOL is poised for further appreciation. .
Daniel Cheung, an investor in this network and its infrastructure, believes that SOL will be a strong competitor to Ethereum in coming months. Cheung expects SOL, in the long-term, to be one of crypto’s best long-term risk/reward investments.
Cheung published the top reasons investors should reconsider taking short-term profit after his recent rally towards an ATH.
Cheung claims that Solana is the one who has the PotentialFor a rally that could see its price rise 4 times its current value. Investors are now able to support the bullish thesis of this network by looking at its ecosystem fundamentals.
According to SOL, the Locked In Present Total Value (TVL), which followed the price action, recently reached a new all time high of $ 1.93 billion. The ecosystem has seen several product launches in the DeFi sector and non-fungible tokens(NFT) section.
TVL is not a perfect indicator of adoption. However, it is a useful indicator that shows how people value smart contracts.
Solana’s rise has led to the decline of other ecosystems that were once an important hub for financial application, such as Binance Smart Chain.
What Solana might trigger in terms of the long-term effects on Altcoin markets
Cheung also expects Solana to continue to strengthen its fundamentals with the potential of its ecosystem, to increase its total locked in value 15-20 times over current levels.
I believe TVL could reach four billion. If you multiply TVL by 15x-20x, $ SOL could reach a limit of Mkt. From here, it would be 4x. How to get rich investing is about seeing the big picture.
Alias trader Altcoin Sherpa shares Cheung’s bullish outlook. The trader believes Solana, Terra, another layer, which is expected to be a serious competitor for Ethereum could absorb capital.
SOL and LUNA may be able to benefit, while other cryptocurrencies could also be affected. Bleed:
In the coming days and weeks, SOL and LUNA are going to be liquidity black holes in the altcoin market. You might be wondering, “Why is my altcoinnit moving?” It could be because all that money is going to super trendy shit right at the moment. It’s good to be exposed to them.