A widely followed crypto analyst believes that a key metric indicates Ethereum (ETH) competitor Solana (SOL) could keep soaring to three figures.
In a new strategy session, the host of InvestAnswers tells his 452,000 YouTube subscribers that Solana could surge another 388% from its current value.
The trader says Solana’s dominance (SOL.D), a measure of the market cap of Solana as a share of the entire crypto market, just hit a historically significant level. Increasing dominance can indicate a growing interest in a crypto project.
“This is about dominance. This is about Solana dominance, and it just hit 2% literally moments ago. And I was waiting for that moment….
That is a historic moment for Solana…
If we repeat what we did last time and if Solana dominance is the same, or it’ll probably be a lot higher given the actual recent trends, that means these [prior] price targets are not unreasonable.”
The trader’s chart shows that the previous times SOL.D hit 2% were in September 2021 when Solana was trading for $181, in October 2021 when Solana was trading for $190 and in March 2022 when Solana was trading for $131.
The trader predicts Solana could soar to as much as $290.
“My bear case is $151. My bull case is about $290. But if you look at these averages, $181, $190 plus $131, that brings us north of $165. So things are boding well this time around even though this time is different, things are happening earlier and faster. That 2% is magical. We are piercing it for the first time, and the price is a lot lower so we could go a lot higher.”
Solana opened the year at $9.99 and is now trading for $59.37 at time of writing, a more than 494% gain. SOL.D has retracted to 1.84% at time of writing.
I
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE3
Credit: Source link
