Solana smashes all resistance to reach ATH, why it could go much higher
Smart contracts platform Solana has performed undaunted by the bears’ onslaught. In the past month, SOL has posted gains exceeding 92%. Its features and applications promise an extension in its uptrend.
Firm Sino Global Capital has published a report pointing out Solana‘s strong points. From its low latency, high performance, its operability with the Proof of History mechanism, Solana’s blockchain is capable of processing 50,000 TPS. Sino Global Capital stated:
(…) without compromising decentralization or security. Solana is uniquely positioned to gain market share from existing smart contract blockchains as well as attract new projects and users to the crypto/blockchain space.
In parallel, Solana users can leverage low fees averaging $0.0007 per transaction with a high level of composability that sets it apart from alternatives.
In the long term, composability in Solana’s blockchain could favor the growth of its DeFi ecosystem, much more so than in other platforms that will implement sharding and second-layer solutions. Sino Global Capital adds:
(…) composability with the entire layer 1 ecosystem. Without fiat onramps on any EVM layer 2s, new users must first transfer funds through Ethereum, costing (~$50 ), while the same onboarding on Solana costs less than 1 cent. Solana.
Solana’s interoperability with Ethereum
To achieve this, BSC has capitalized on its interoperability with Ethereum, low fees, and the broadening of its DeFi ecosystem.
Solana is a platform that offers low costs and speed of BSC, with greater decentralization, its blockchain has more than 600 validators. In comparison, BSC has 21 validators.
During the year, Solana is expected to be portable to Etheruem by receiving support for the EVM as a second-layer solution. Coupled with a more “simplified” user experience, a community of more than 25,000 contributors on GitHub, Rust-based smart contracts.
The firm claims that Solana has greater “accessibility” for new developers and huge potential to implement numerous use cases:
huge potential to build out a new class of decentralized applications that can only be made possible by a high-performance scalable blockchain. With Solana’s scalable processing capacity these use cases can thrive. (…) Decentralized projects for high-frequency trading, central limit order books(CLOB), derivatives, cloud computing, and cloud storage
Another key factor is the significant number of partnerships that have been consolidated around this platform and the DeFi projects that continue to emerge. For example, Audius, Oxygen, Serum, and others. Sino Global Capital concludes:
Solana fills a major performance gap in the world of blockchains while remaining decentralized and composable. A bet on Solana is a bet that one day we will need fully decentralized systems that can support thousands of high-value complex transactions per second and that the chain that can support that scalability and finality today will accrue significant value.
With a parabolic rise across the board, SOL reached an ATH with $27 in the 24-hour chart. However, after a small drop is trading at $26,13 with 8% gains during that period.