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Ethereum has just broken out of a long standing ascending triangle and is looking ready to take the limelight from bitcoin. However, Solana is potentially a much better bet over the longer term.
Ethereum has finally moved into the limelight after breaking out of an ascending triangle that has been in the making since June of 2022. After such a bullish move it is only right that $ETH should be gaining the plaudits. The crypto market needs $ETH to power on up given that this will supply the impetus that the entire crypto market needs so that it can get out of the shade of bitcoin, albeit even for brief interludes.
This latest $ETH breakout has already started to unleash certain coins in the ethereum ecosystem and this will be good news for ethereum dominance.
Major hurdles to overcome
Be that as it may, ethereum still has major hurdles to overcome if it is to take the undisputed place as the world’s foremost blockchain for the building upon of most of the future crypto projects.
As far as the ‘trilemma’ goes (the balance of the 3 most important elements of a blockchain network in scalability, decentralisation, and security), ethereum has certainly nailed it on security. However, transaction speed is still a big issue, and layer 2s are needed in order to address this.
Solana is developing an answer
On the other hand, continually surging skyward in the background, Solana is fast developing the answer to the trilemma issues. Solana is also a layer 1 blockchain and it appears to have solved the issue of speed.
Source: Trading View
Always a blazingly fast blockchain, Solana developers have been working intensely through the bear market despite the huge beating that the $SOL token took. Already theoretically able to achieve 65,000 transactions per second (TPS), the introduction of another Solana validator client called Firedancer by late 2024 is likely to be an absolute game changer.
Solana has no layer 2 blockchains to help it with speed and scalability, and the introduction of Firedance will potentially allow the blockchain to produce speeds similar to those needed for a stock market such as the Nasdaq, with almost zero latency.
So as ethereum and its ecosystem possibly has a good run, at least over the short term, the token to watch over the longer term is likely to be $SOL. Hang on to your hats.
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.