Solana
Solana at $1,000? Ethereum’s story makes it possible
Gamza Khanzadaev
Zhu Su sparked interest by suggesting Solana could hit $1,000, similar to Ethereum’s historic surge
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Zhu Suone of the founders of the infamous hedge fund Three Arrows Capital, recently highlighted the performance of the Grayscale Solana Trust, suggesting that this could imply the future value of Solana at $1,000 per SOL.
This projection is based on a comparison with the historical performance of Ethereum and the Grayscale Ethereum Trust (ETHE), used as a benchmark.
Grayscale Trusts work by allowing investors to gain exposure to digital currencies through a traditional investment vehicle without the challenges of directly purchasing, storing and custodiing digital assets.
Each share in the trust represents a fraction of the cryptocurrency held by the trust, and the value of the shares may trade at a premium or discount to the market value of the underlying asset.
“Every four years…”
So four years ago, when Ethereum was trading at around $200, the Grayscale Ethereum Trust implied a value of $1,000 per ETHThis significant premium reflects strong investor confidence and expectations regarding future prices.
Source: TradingView
Ethereum’s price eventually caught up with these projections, experiencing substantial growth over the following years. This model suggests a potential roadmap for Solana.
The comparison of Solana It is worth noting the importance of the time when Ethereum was emerging as an important platform. If SOL follows a similar trajectory, the implied value suggested by the Grayscale Solana Trust could come to fruition.
While past performance is no guarantee of future results, the historical context provides a compelling narrative of Solana’s growth prospects, making the $1,000 goal a topic of interest to the community.
About the Author
Gamza Khanzadaev
Financial analyst, trader and crypto enthusiast.
Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master’s program in banking and asset management.
He wants to participate in covering economic and financial technology topics, as well as making more people aware of cryptocurrencies and blockchain.