Will Solana Repeat Bitcoin’s Success? One Analyst Sees Potential Outperformance Here’s Why
BitVerge – An analyst has pointed out a major factor that could change the direction of future market trends and put Solana (SOL) ahead of the curve.
Solana price has started to stabilize after its recent surge, falling just 0.7% over the past 24 hours, following VanEck CEO Matthew Sigel’s statement that Solana (SOL) has the potential to outperform Bitcoin (BTC). Solana’s gains since last Friday have stabilized at 4.44%, confirming its stability after the recent market downturn and remaining among the best performing altcoins, especially as its trading volume increased by 21.39% over the past 24 hours to reach $ 1.7 billion .
VanEck CEO and ‘early SOL enthusiast’ points to key catalyst for price action
In a recent interview on Bitcoin Macro, Matthew Siegel stated that layer-one blockchain solutions will capture “99% of the economic value” of the market in the long run, and pointed to Solana as a key player in this trend. Siegel also spoke about VanEck’s investment in the coin, describing it as “one of the biggest vocal advocates of Solana and its future.”
VanEck is “throwing its weight” in Solana’s technology ecosystem because it expects “the Bitcoin blockchain and one or two other layer-one blockchains will eventually capture the largest share of economic value distributed across blockchains, followed by investments in startups pursuing the best decentralized applications (dApps).” Siegel spoke of the cryptocurrencies with the “best chance of mass adoption” as a key factor in shaping the long-term future of the market, and Solana’s technology ecosystem could be the biggest beneficiary due to its massive development and growing popularity.
Solana Price Analysis: Will We See a Breakout of the Current Resistance?
Technical indicators bode well for Solana’s long-term future.
The formation of the Cup and Handle technical pattern that has been in place since late 2021 suggests that Solana price may continue to rise in the long term, as the current period represents a stabilization phase before continuing the upward path. The price of SOL is currently confined to the price channel that represents the handle, and the price may continue to fluctuate before continuing its upward path due to the atmosphere of uncertainty surrounding the market. This technical pattern usually indicates an imminent wave of increases, but it also allows for additional declines within the price channel of the handle pattern.
This is in line with some analysts’ predictions that we will go through a tough period during September followed by a special three months to conclude the current year, with many anticipating the start of the altcoin season, at which point eyes will turn to the $400 mark as the target value and an unprecedented high after the price movements of the SOL coin break out of the current cup and handle pattern and complete the upward path.
Read Also: Analyst: Bitcoin Targets $60K, Likely Has Further Room to Rise
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