Peter Brandt Picks Solana Over Ethereum Amid DeFi Dominance War

As the Decentralized Finance (DeFi) dominance debate continues in the broader cryptocurrency space, every investor will continue to have their preferences. As an anchor, an investor might choose utility, gas fee, transaction speed, or throughput. The debate this time focuses on Ethereum (ETH), the leading altcoin, and Solana (SOL), its biggest competitor.

Brandt’s Analysis: SOL’s Potential for a Breakout

Peter Brandt, veteran trader and renowned voice in the crypto space, has waded into the discourse. In a post on X, Brandt approached the discourse from a trader’s perspective. He analyzed the potential of the two assets for upward price movement in the current market.

Notably, Brandt acknowledged that Ethereum and Solana could experience a price breakout. He suggested that both assets’ prices could align with the upward trajectory of Bitcoin. If Brandt’s predictions are accurate, the broader crypto market might witness a bullish season.

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Brandt pointed out specifically with charts that Solana is heading toward “new highs.” This breakout to new highs suggests strong buying pressure as SOL moves toward levels it has not reached previously. From the chart, it is clear that SOL might break its $200 resistance level and test its all-time high (ATH) of $260.

Meanwhile, the veteran trader emphasized that Ethereum is “chewing into overhead resistance supply.” This indicates that ETH is facing resistance levels where previous sell-offs occurred, generating a supply zone for Ethereum sellers. Brandt believes pushing through this resistance level might prove a significant challenge for the asset.

While Brandt predicted that both assets look set for an upward climb, he prefers Solana as it has already broken to new highs. This is unlike Ethereum, which has a resistance level that cannot be overcome. It suggests a more immediate advantage in SOL’s price than ETH’s.

Ethereum and Solana DeFi Upgrades for Competitiveness

Ethereum Foundation recently launched the Pectra Testnet, which could go live by February 2025. This upgrade follows the successful launch of the Dencun upgrade.

The upgrade aims to integrate smart contract functionalities into standard wallets via the Ethereum Improvement Proposal, EIP 3074. When completed, it will simplify transactions, improve efficiency, and reduce costs.

Solana has also recently carried out some performance upgrades. This includes implementing the Quick UDP Internet Connections Transaction Processing Unit (QUIC TPU) and the v1.17 update for validators.

The upgrades enhanced transaction speed and reduced network outages. Consequently, this will help solidify its rating as a leading platform for decentralized finance.

Future Price Projections for Ethereum and Solana

As of this writing, both Ethereum and Solana have recorded significant gains. ETH has climbed by 7.73% to $2,860.42 but with a 10.55% decline in market volume to $34.28 billion.

The SOL price was $194.40, representing a 4.37% increase. Its market volume has also sharply declined from 49.73% to $4.67 billion.

However, experts have projected that the price of Solana might rise with the possibility of an exchange-traded fund (ETF). A few bold predictions have tipped SOL’s likely rally to the $300 benchmark. With the recent unveiling of Ethereum’s Pectra Testnet, ETH price has the potential to climb to the $4,000 zone. Additionally, Ethereum’s open interest surge has favored a price spike.