“DeFi and memecoins will make Solana surpass Ethereum,” says trader

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The debate between Solana and Ethereum has come up a lot this market cycle, especially with SOL currently outperforming ETH. This “flip” came not only in terms of appreciation, but also in the ecosystem, with the memecoin fever benefiting Solana.

Furthermore, decentralized finance (DeFi) applications have also developed a lot on Solana. With this, veteran trader Peter Brandt showed some signs that indicate a new phase of this “battle”.

Why Solana is ahead of Ethereum

In an X publication, Peter Brandt mentioned that Solana is breaking new highs in 2024. The price of the cryptocurrency reached US$ 187 this Thursday (07), very close to the maximum of the year, which is US$ 194.

Meanwhile, ETH is “chewing” overhead resistance and trying to recover above $3,000. He made this statement when analyzing the weekly chart of SOL and ETH from a trader's perspective.

According to the chart below, SOL is on the verge of breaking the $200 resistance and rising beyond its current all-time high (ATH) of $260. In other words, there is little left for the network to be able to break a new ATH.

SOL Analysis. Source: Peter Brandt.SOL Analysis. Source: Peter Brandt.

Meanwhile, the Ethereum chart showed that ETH is still ranging and is struggling to break above the $2,800 resistance. But its historic high is at US$4,700, still far from the current price level.

For now, Brandt stated that he is more optimistic about SOL because it is closer to breaking its high. The trader also commented that he prefers Solana, calling ETH a “completely broken utility currency” whose complexity and cost of use are terrible.

The battle for DeFi dominance

Solana and Ethereum continue to battle for dominance in decentralized finance (DeFi). Recently, Solana surpassed Ethereum in trading volume on decentralized exchanges (DEX). However, data from DeFiLlama shows that Ethereum has led in the last 24 hours.

Since Wednesday (06), Ethereum has been the leader among all networks in terms of DEX volume. The network witnessed a trading volume of $2.94 billion during this period. Solana followed closely behind, with a trading volume of $2.53 billion in the last 24 hours.

However, it is worth mentioning that Solana is still ahead of Ethereum in 7-day trading volume, with $13.61 billion traded on the network during this period. Meanwhile, Ethereum records a 7-day volume of $10.99 billion.

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