Cryptocurrencies saw a rebound on Wednesday, with Solana‘s token, SOL, emerging as the strongest performer. Following a dip on Monday, SOL surged, reaching an all-time high relative to ether (ETH) at a ratio of 0.062. This marks a 7.5% increase in the past 24 hours and a 13.6% gain over the past week, according to CoinGecko. Meanwhile, ETH has fallen to its lowest level against bitcoin (BTC) in over three years, erasing gains made since the SEC‘s surprising May announcement about potential spot ether ETF approvals.
In the weekly context that includes recent market disruptions, SOL has been the top performer among major cryptocurrencies in the CoinDesk 20 Index, down about 11%. In contrast, BTC and ETH have declined by 14% and 25%, respectively.
David Zimmerman, an analyst at K33 Research, highlighted SOL’s resilience despite recent market volatility. “SOL and its ecosystem of coins continue to show strength compared to other altcoins. SOL/ETH achieved a new all-time high, and SOL/BTC remains robust, closing positively even during the market turmoil,” Zimmerman noted.
Tagus Capital, a U.K.-based digital asset investment firm, attributed Solana’s performance to its solid fundamentals. “Key metrics such as increased active users, higher volumes on decentralized exchanges (DEXs), and overall ecosystem growth underscore the platform’s strength,” the firm stated in its market update.
However, Zimmerman cautioned about potential risks, particularly rumors regarding market maker Jump Crypto potentially shutting down its digital asset operations. Recent blockchain data revealed that Jump’s crypto wallets have been transferring ETH to exchanges and unstaking $500 million of ETH over the past two weeks. Jump Crypto has been a significant early supporter of Solana and is leading the development of the network’s anticipated Firedancer upgrade.
“Despite the uncertainty, SOL remains strong, and for those considering long positions, SOL is a notable option,” Zimmerman advised. Crypto research firm Delphi Digital had earlier forecast that SOL could potentially reach a 0.1 price ratio with ETH, suggesting an 80% upside.
Delphi’s Michael Rinko added, “The 0.1 target is still viable, although it would require substantial momentum in Q4 to achieve.”
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