- Crypto veterans Ran Neuner and Raoul Pal sat down and discussed the recent bullish performance of Solana.
- Solana’s potential to disrupt the blockchain trilemma with its high-speed, cost-effective, and secure Fire Dancer project.
- Pal is optimistic about the transformative potential of Solana’s efficient NFT minting costs.
- Pal and Neuner discuss Solana’s growth potential, suggesting it could reach 3x its all-time high in the next cycle, potentially hitting around US $600.
Bullish on Solana
Raoul Pal is enthusiastic about the potential of Solana (SOL) as a consumer blockchain, especially with its involvement in the Fire Dancer project aimed at achieving near speed-of-light transaction processing, positioning it for high-frequency trading. Pal believes this development promises to deliver transaction speeds far exceeding current rates, challenging the blockchain trilemma by offering enhanced security, lower costs, and faster speeds, which were previously thought to be mutually exclusive improvements.
So, the applications that’s going to come out of this are game changing. And it kind of pushed apart the argument of the trilemma because it not only made it more secure, but cheaper and faster. So, ok, that’s interesting because that was not supposed to be solvable.
Raoul PalCompressed NFTs
Pal added he is excited about the progress in blockchain technology, particularly highlighting the cost-efficiency of Solana’s platform in minting NFTs (Non-Fungible Tokens) which he believes will bring about business models we don’t even yet know about.
Neuner compared NFTs on Solana to other blockchains like Ethereum (ETH) and Polygon (MATIC). With Solana, the cost to mint a large volume of NFTs is dramatically lower.
Neuner stated, minting 10,000 NFTs on Solana costs only US $18 (AU $27.65), while the same action would cost US $30,855 (AU $47,391) on Ethereum and US $52.09 (AU $80) on Polygon. He cited this cost advantage as a reason for the growing interest and announcements around Solana’s technology, as it offers what is perceived as an “extraordinary” value before the implementation of Fire Dancer, which is expected to further enhance the network’s capabilities.
What they’ve built now is something truly extraordinary, and the price is truly extraordinary because nobody believed this.
Raoul PalSOL Price Prediction
Pal and Neuner then speculated on the potential growth of Solana (SOL) in the context of a new altcoin market cycle. They compared the market capitalisation of Ethereum (ETH) at around US $220 billion (AU $337 billion) to that of Solana at approximately US $17 billion (AU $26 billion).
By examining Ethereum’s price increase from its initial coin offering (ICO) price of a few cents to a peak of around US $1,640 (AU $2,518) in one cycle, and then up to around US $5,400 (AU $8,291) in the next, they noted that Ethereum reached roughly 3x its previous all-time high in the subsequent cycle.
Using this pattern, they apply the same 3x multiple to Solana’s all-time high of around US $170 (AU $261) to US $210 (AU $322). They suggest that a “reasonable target” for Solana could be 3x its all-time high, which would be about US $600 (AU $921), representing a 12x increase from its current valuation.
Pal said, his personal thesis is that Solana’s potential could be even greater but cautions against setting firm price targets, acknowledging the unpredictable nature of the crypto market.
But who knows? Like we’ve all, we’ve all learnt from the previous bull market not to give price targets because people just want to beat you over the head with them.
Raoul PalCredit: Source link
