KEY POINTS
- Glassnode co-founders: "the SOL-ETH ratio could rise to ~0.76 from the current level of ~0.14"
- Happel and Allemann that while Ethereum will also rally, Solana "may outperform" ETH "by 4-5X into the Crypto top"
- As of 5:31 a.m. ET on Friday, SOL was trading at $94.69
Solana, the intrinsic digital asset of its eponymous blockchain platform, employing a proof-of-stake consensus mechanism, is poised for an unprecedented surge, with projections suggesting it could outperform Ethereum by a factor of five.
Jan Happel and Yann Allemann, co-founders of the crypto analytic firm Glassnode, who both use the X handle @Negentropic, shared that Globa Macro Investor founder Raoul Pal and macroeconomist Henrik Zeberg both agreed that the SOL-ETH ratio looked bullish.
The co-founders delved deeper into the SOL-ETH ratio to come up with an answer to "how much could the ratio rally."
The co-founders showed a chart featuring the Relative Strength Index (RSI), a widely used momentum indicator for assessing an asset's overbought or oversold condition.
The RSI, as interpreted by Glassnode's co-founders, reveals a robust momentum for SOL.
Additionally, the chart looked into the Moving Average Convergence Divergence (MACD) indicator, a measure favored by traders for monitoring potential shifts in trends.
Happel and Allemann, in their analysis, affirmed a bullish outlook for SOL's MACD.
Along with a chart, the co-founders projected that "the SOL-ETH ratio could rise to ~0.76 from the current level of ~0.14."
They also emphasized that while Ethereum will also rally, Solana "may outperform" ETH "by 4-5X into the Crypto top."
We all watched @HenrikZeberg and @RaoulGMI talking on @cryptomanran Banter Show about SOL-ETH ratio.
— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) January 17, 2024
They both agreed it looks BULLISH.
But - just how much could the ratio rally?
This chart suggests, that the #SOLETH ratio could rise to ~0.76 from current level of ~0.14.
In… pic.twitter.com/JQOD8ImN1Z
Before this tweet, the Glassnode co-founders underlined that after "a period of consolidation after the Break-Up of the Rounding Bottom formation," altcoins are poised to "fly."
"The next phase is ACCELERATION! This is where the Altcoin Season sends #Crypto flying. The market will double and triple a matter of few weeks to months," Happel and Allemann said in a tweet.
Altcoins are ready to fly! 🚀
— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) January 16, 2024
We have had a period of CONSOLODATION after the Break-Up of the Rounding Bottom formation.
The next phase is ACCELERATION!
This is where the Altcoin Season sends #Crypto flying. The market will double and triple a matter of few weeks to months.… pic.twitter.com/kdKW9AiRIV
Solana's price has experienced significant volatility since its inception. It initially gained attention in early 2021 when its price surged rapidly. It reached an all-time high (ATH) of over $200 in May 2021.
Solana has demonstrated remarkable resilience amid potential market turbulence stemming from holdings associated with the FTX bankruptcy estate. The platform's impressive growth trajectory finds its foundation in the thriving realm of decentralized finance (DeFi).
As of 5:31 a.m. ET on Friday, SOL was trading at $94.69 with a 24-hour trading volume of $2,506,322,450.
The crypto asset's latest price action represents a 4.82% dip in its value on the day and a 3.30% loss over the past seven days.
Solana's current circulating supply stands at 432,790,943 SOL and it is worth more than Ripple (XRP), as it's valued at $40,959,165,638, data from CoinMarketCap showed.
