Solana has long been at the forefront of the crypto race. Due to the functionalities of the blockchain, it was at times also considered an “Ethereum killer”. After Solana hit a new all-time high today, this is Solana and how it compares to Ethereum compared to Ethereum if we look at the numbers.
Solana for $ 62!
This is the new all-time high that SOL recorded on the daily charts today. As early as May, the coin set the ATH at USD 52 but failed to break through it in the months that followed. However, in the early hours of trading on August 16, SOL hit $ 62. This is the result of the recent rally that rose the coin price by 164%. Yesterday alone it rose 21%, the highest one-day rally in over two months.
Compared to ETH, the Solana rally may have triumphed, but it falls when it comes to the values in the chain. The real volume of ETH, at $ 2.3 billion, is higher than SOL’s $ 1.12 billion.
The circulating market cap, which is essentially the price of the asset multiplied by the circulating supply, for Ethereum is also orders of magnitude larger than Solana, with the former at $ 386 billion while the latter is only $ 12.7 billion. The high prices of ETH make a big contribution to this, although it has a much lower offer than SOL.
In addition, the Sharpe ratio shows that Ethereum currently promises better and higher returns than Solana. The SOL numbers have managed to climb back to the May high of 3.6, but ETH stands at 7.6.
Finally, to determine the likelihood of a future price spike, let’s look at volatility, and right now Solana’s volatility is pretty low at 1.11. The volatility of Ethereum is also low at 0.75, which means that there is no sudden drop in prices for either coin.
Are investors leaning towards Solana?
Given the popularity of Ethereum and a stronger network presence, it cannot currently be said that Solana is pulling investors away from it. However, with the recent London hard fork and the introduction of the fee-burning mechanism, some miners could move away from ETH. Solana is already known for its ability to process over 1000 transactions per second (TPS), which is exceptionally higher than ETH’s 14 TPS, but it’s not yet mainstream due to its different programming language.
The network is still preferred by many developers, however, as a Solana blockchain-based decentralized exchange (Dex) recently raised $ 70 million in a token sale this Wednesday.