Solana attracted a large number of new users this summer as a result of its quick transactions and low fees. Needless to say, numerous prominent analysts have expressed their bullish perspectives on the world's seventh largest token.
A popular cryptocurrency analyst and trader on Twitter with around 175K followers shared his thoughts on the flagship token.
Smart Contracter, a pseudonymous analyst, predicted that Solana (SOL) would surge to a new record high after a period of accumulation. "SOL ATH soon anon, this reaccumulation won't last forever," the tweet said.
To support his position, the analyst reiterated his previous bullish narrative. After completing wave four of its five-wave uptrend, Smart Contracter predicted that Solana would surge by more than 100% against the US dollar (SOL/USD) and Bitcoin (SOL/BTC).
The analyst employs Elliott Wave theory, a technical analysis approach that forecasts future price action by observing crowd psychology, which manifests itself in waves. Wave four, according to the theory, is the final corrective phase before the asset launches the final wave of its cycle. Furthermore, cryptocurrency traders have been bullish on SOL. A recent survey conducted by Real Vision Bot revealed the same results. According to the findings, traders prefer an overweight portfolio that includes both Solana and PolkaDot.
Mid-week madness? Votes in the @RealVision #cryptocurrency survey over the last 48 hours. #polkadot is leading, follower by #solana and #polygon. #bitcoin where are you?— Real Vision Bot (@RealVisionBot) October 13, 2021
Don't forget to vote:
Macro: https://t.co/D0BUbVVcdI pic.twitter.com/RpE7HKysWX
Regardless of the surge, Solana is frequently perceived as being more centralized due to its reliance on the Solana Foundation. This is especially true when compared to other L1 chains. Consider this, however. According to Solana Beach, the network currently has 1,089 validators, giving it a Nakamoto Coefficient of 19. On the same note, the Coefficients are much lower, with Bitcoin averaging five and Ethereum averaging three. Higher scores on the Nakamoto Coefficient indicate higher levels of decentralization. Following that, the analyst in question shed some light on Ethereum. He stated on Twitter that the leading smart contract platform has not yet run out of steam.
It will be interesting to see if the aforementioned analysis matches the prices in real-time. At the time of publication, SOL was trading in the green, while ETH was trading in the red. At press time, SOL had gained 3% and was trading at $164; ETH had lost 3%. It was worth $3,840 at the time.