Opinion

Ethereum (ETH) now? No, Solana (SOL) is better for this bull run

Ethereum (ETH) now? No, Solana (SOL) is better for this bull run

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Most analysts agree that Ethereum will probably start to outperform Bitcoin as this crypto bull market develops. However, if this is the case, why not back Solana, as $SOL will arguably outperform both. 

Investors forced to bet on assets outside of the system

Not all investors are in crypto for the tech. If you are a typical retail investor you are perhaps more aware of the fragility of the traditional financial system, and that many banks are only still alive due to central banks loaning them money to keep them propped up.

You also might be conscious of the fact that it’s the average person that pays for this in the form of money printing, higher inflation, and the consequent diminishing value of their currency, whether that be US dollars, pounds, yen, or any of the others.

With this in mind, investors need to take bets outside of this system, because what is inside is unlikely to help them avoid the devaluation of their money.

Bitcoin will change finance forever

So, most will start off with bitcoin, because it is a behemoth, and it will change finance forever. However, that will take time, and there’s probably only one year to eighteen months left of this bull market. The bets need to be made now.

Bitcoin can make you great gains and is worlds better than keeping currency in the bank to earn 0.003% interest or whatever it currently is. However, many investors are fighting to stay above water, and they may need even bigger gains to pay off what they already owe.

Ethereum - a compelling choice

Therefore, Ethereum could be a better option. The decision on the Spot Ethereum ETFs is due around May time, and assuming that they will be approved, $ETH will potentially climb faster than $BTC.

That being said, Ethereum does have its issues, of which there are too many to mention in this article. Although it is still very much the leading layer 1 for smart contracts, and retains more developers than any other rival network. These reasons alone make it a compelling choice.

Solana riskier, but potential for bigger gains

Now, choosing $ETH over $BTC is going to take you further up the risk curve, and this needs to be understood by investors. That said, there is another investment that could return even higher gains, and that is Ethereum’s layer one rival Solana.

Once again, the risk here is even higher. However, Solana is a lightning fast layer 1 that scales, two of the biggest issues with Ethereum. Where Ethereum beats any other layer one for security and reliability, Solana provides the speed and scalability needed for the future of digital assets.

To cut the comparisons short, there are many, many arguments for both networks and their advantages, now, and going into the future. Be that as it may, where simple price is concerned, $BTC has a $1.2 trillion market cap. $ETH has roughly a third of this, at $420 billion. And $SOL is all the way back at just under a $60 billion market cap - around 7 times less than that of $ETH.

Just doing the simple maths would perhaps lead one to believe that $SOL will increase in value at a faster rate than both $BTC and $ETH over the next 18 months or so. 

Increase your Bitcoin holdings

Also, at the end of the bull market, assuming the unlikely ability to know when this will happen, transferring your $ETH or your $SOL back into $BTC has the potential to vastly increase your Bitcoin holding.

Finally though, this is all opinion and conjecture. Just holding $BTC is probably the safest bet, and that is arguably the case in both the traditional and crypto financial systems.

Investors would be urged to really do their homework on Bitcoin at the very least. Understanding how Bitcoins works, how it protects wealth, and how it enables financial freedom, might mean that investors could then reevaluate the traditional finance system that they are currently trapped within.

We are at the most crucial turning point in world financial history, and if you are not aware of just how high the stakes are, you probably need to start doing that homework - and soon.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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