Kraken, a popular US-based crypto exchange, analyzed the short-term potential of smart contract platforms Ethereum and Solana and noted that significant gains are possible for both altcoins.
Data from Kraken’s October market summary, Solana’s (LEFT) states that it is receiving a new wave of support from institutional investors.
“After being among the top five crypto assets by market cap, SOL has continued to attract increasing attention from new and existing market participants, especially institutions.
With the altcoin appearing in a trend that can be considered a third wave of ‘price discovery’, it can be said that SOL will climb significantly higher next year.”
Analysts of the stock market say Solana appears to be in a good position to reach the top of the 18-month rising wedge pattern.
“A test at this resistance could mean that SOL will climb to the $400-$500 level by next month at the earliest and by the first quarter of 2022 at the latest.”
According to the report, Ethereum has also successfully climbed above the fifth band of the logarithmic regression rainbow. If the momentum continues, the popular crypto exchange’s next short-term target for ETH is $6,500.
Kraken states that Ethereum’s current dominance of over 19% in the overall crypto market is relatively low compared to the last time ETH hit an all-time high in May.
According to the exchange, this metric means that the second-largest cryptocurrency may underperform other smart contract competitors.
“…ETH’s dominance remains well below the 20.1% rate it achieved in May, when the crypto-asset hit an all-time high of $4,380.
This shows us that although ETH has soared to an all-time high, ETH has a smaller market share than last time and may have a relatively weaker momentum compared to its peers.”
According to CoinGecko, Solana is currently changing hands at $247.15, while ETH is trading at $4,782.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.