The public blockchain Solana (SOL) broke through $126 today, reaching a new high since April last year. Santiago R Santos, former partner of ParaFi Capital and founder of EON Capital, boldly predicts that Solana will eventually surpass Ethereum, with an 80% chance that SOL’s market value will surpass Ethereum’s within 3 years.
Since mid-October, Solana (SOL) has been skyrocketing from around $20. After surpassing the $100 mark on the 24th, it broke through $120 today, reaching a high of $126.36, a new high since April last year.
As of the deadline, it is currently trading at $119.3, with a 24-hour increase of 8% and a monthly increase of over 104%.
The current market value of SOL exceeds $10 billion, according to CoinMarketCap data. It ranks as the fourth largest cryptocurrency by market capitalization, with a market value of $51.2 billion, surpassing Binance Coin (BNB) by over $10 billion, and only behind Bitcoin, Ethereum, and USDT.
While SOL continues to rise, Santiago R Santos, former partner of ParaFi Capital and founder of EON Capital, who has been involved in cryptocurrency investment since 2013, boldly predicts that Solana will eventually surpass Ethereum. He has raised the probability of Solana surpassing Ethereum within this cycle (3 years) from 20% at the beginning of the month to the current 80%.
Santiago R Santos explains that he does not set this probability at 100% because nothing is certain. His assumption is that the rotation within the cryptocurrency market will revolve more around SOL. Compared to other networks, SOL’s performance will be more outstanding and will narrow the gap with other networks. The proportion of new funds flowing into SOL will be higher.
Santiago R Santos concludes that as funds flow in and the overall market cap increases, the high correlation within the cryptocurrency market will continue to exist in this cycle. The fully diluted market cap (FDMC) and price of ETH and SOL may rise, and the SOL/ETH ratio will converge, with the fully diluted market caps of both eventually equaling 1:1.
Previously, Santiago R Santos stated that Solana could surpass Ethereum without the need for Ethereum’s market value to decline. With various applications and improvements in practicality, SOL and its ecosystem could become a relatively profitable investment path and attract funds from retail and institutional investors in the next market cycle.