Altcoin Season Coming This Summer, ETH to Beat SOL: Arthur Hayes

Former BitMEX CEO Arthur Hayes has recently assured that a huge altcoin season is in the making this summer, and Ethereum is likely to outperform Solana this time. Hayes, who now runs his family fund Maelstron, stated that Ethereum will lead this rally this time. and that not every cryptocurrency will outperform. With the recent rally to $2,700, ETH has been on investors’ radar recently, with analysts predicting a further rally to $4,000 and more.

Arthur Hayes Explains What Will Be Different This Altcoin Season

Hayes believes that, unlike 2021, when every single cryptocurrency rallied by 100x, this altcoin season will be a bit different. However, he believes that only quality projects would do well and poor projects won’t likely participate in this market rally. In an interview with Fortune, Hayes said:

“I don’t think it’ll be like that in 2021, that every single coin just goes up 100x. We’ll have a new narrative, that people are going to try to trade and it’ll trade some crazy price, but the old dino coins in your portfolio that aren’t moving probably aren’t moving for a reason. I think a lot of those coins have high FDV, low float, no customers, no revenue, just some CEX listings, that went down 95%, I don’t really see why those should do well in the next cycle.”

Choosing Ethereum Over Solana

When asked about what is his opinion on Ethereum vs Solana, and which of the two altcoins would perform better, Hayes chose ETH. He stated that Ethereum has received a lot of hate due to its underperformance and that many have started believing that the Ethereum ecosystem is not making any progress.

However, Hayes stated that it still has the most TVL (total-valued-locked), the number of developers, and is the most secure proof-of-stake blockchain.

“Solana obviously did very well from $7 to $172. But if I’m gonna deploy a fresh unit of fiat capital into the system, I think that Ethereum could outperform Solana in this next sort of 18-24 months bull run,” said Hayes.

Ethereum Co-founder Vitalik Buterin recently laid out plans about how Ethereum Layer-1 should improve its scalability. without sacrificing the usability of personal nodes. Key initiatives in this roadmap include EIP-4444, distributed history storage, stateless verification, and the introduction of lightweight “partially stateless nodes” to improve performance and efficiency.

Additionally, Hayes also predicted that despite the altcoin season, BTC dominance will continue to increase and the Bitcoin price rally will extend to $250K.

The Current State of the Crypto Market

After a strong run-up from mid-April, the crypto market has entered a strong consolidation period. But dropping Bitcoin dominance has made investors believe that alts are set to outperform BTC very soon.

Crypto analyst Captain Faibik has forecasted a potential bearish impulse in Bitcoin dominance (BTC.D), suggesting that a new altcoin rally may be on the horizon. If the trend unfolds, altcoins could gain significant traction in the market.

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Bhushan Akolkar

Bhushan is a FinTech enthusiast with a keen understanding of financial markets. His interest in economics and finance has led him to focus on emerging Blockchain technology and cryptocurrency markets. He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.