TO Recent report 'Navigating narratives' by K33 Investigation provided information on how to trade altcoins. Curiously, as part of their analysis, they highlighted ethereum-killer-heres-why/” target=”_blank” rel=”nofollow”>Solana (not eth) as the main focus and explained why this was so.
Why Solana is the main focus
The report, written by DeFi analyst David Zimmerman, stated that they were primarily focusing on buying SOL if there was an opportunity to buy lower. They claim that the reason for this is that “SOL has solidified his place in the market as one of the market leaders.” They also expect the outperformance of SOL to eth to continue in this market cycle.
Meanwhile, Zimmerman highlighted how SOL's on-chain activity has continued to flourish and noted that the narrative of SOL being eth's main competitor was still intact. He solana network has long been dubbed the “ethereum Killer”, with the belief that the ethereum/” target=”_blank” rel=”nofollow”>the first will dethrone the second sometime.
In fact, Solana has gone toe-to-toe with ethereum as of late, momentarily surpassing it in significant metrics. In December, Solana ranked above ethereum in seven-day DEX volume for the first time in history and surpassed it in nft trading volume during that same period. More recently, ethereum/” target=”_blank” rel=”nofollow”>Solana's Jupiter Outperformed ethereum's Uniswap in daily trading volume.
Solana currently trading at $98.9700 on the daily chart: TradingView.com
SOL also outperformed eth last year, with the former making a roughly 1000% gain. The cryptanalyst Santiago Santos also He recently gave his opinion about Solana and ethereum's fight for dominance. Comparing ethereum's trajectory during the ICO boom to Solana's current trajectory, he noted that Solana had an advantage as it has “applications experiencing significant usage and growth.”
This is one of the reasons why he believes Solana “will converge on ethereum faster than most believe.”
What price levels present buying opportunities for SOL?
Having explained why SOL was the main focus among altcoins, the Navigating Narratives report highlighted the price levels they were watching in case the market gives way. deeper pullbacks for SOL. These levels includes the $70price range of $50 and $30.
However, they noted that they did not expect the $30 buy order to be fulfilled as it would require a drop like the one that occurred in March 2020. bitcoin-crashes-under-6k-on-bitmex-crypto-market-sheds-56-billion/” target=”_blank” rel=”nofollow”>was the period when bitcoin lost almost half its value in a two-day crash. Other crypto tokens also experienced similar pain at the time.
Meanwhile, if SOL continues to rise, K33 Research highlighted the $115 and $140 price ranges as ideal areas to sell and take profits.
At the time of writing, SOL is trading at around $99, up in the last 24 hours according to data from CoinMarketCap.
Featured image from Adobe Stock, TradingView chart
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