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.
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