Bitcoin, the original cryptocurrency, has consistently overshadowed the rest of the crypto ecosystem. Numerous cryptocurrencies besides Bitcoin, collectively referred to as altcoins, have begun to emerge as serious challengers. They provide superior and innovative solutions and features that can potentially dethrone Bitcoin’s superiority. Solana, Ethereum and Avalanche are three of those altcoins that are rapidly becoming popular in crypto space.
Solana's Speed and Scalability
Solana stands out from the pack with ultra-fast transaction speeds and next to zero network costs. For example, transactions on the Solana network finalize in less than two seconds. This is a massive difference compared to the long confirmation times that we experience with Bitcoin. This velocity and volume of transactions is what makes Solana an enticing platform for dApps like decentralized exchanges, NFT marketplaces and real-time gaming applications.
Unique to Solana’s architecture is a design that actively stops the typical security vs throughput trade-off. As a result, it can handle a very large number of transactions without saturating the network. Continuous improvements increase our confidence in validator uptime. They propose the use of archivers that offload historical data, increasing the scalability and efficiency of the network.
Though it has quite a lot of potential, Solana is definitely infamous for its price swings. On shorter time frames, Solana’s price is now treading on a daily descending trendline support. In the immediate future, it has significant short-term resistance at the $180 level. Analysts are expecting a strong bounce of at least 15% as the price approaches its bottom resistance barrier.
Ethereum's Robust Ecosystem
Ethereum has quickly become the most popular platform for decentralized applications (dApps) and smart contracts. Its rich ecosystem is home to lending, borrowing and yield-farming protocols. Together, their work secures tens of billions of dollars in value on its chain. A vibrant community of developers keeps the Ethereum network and its constituent chains humming. Their progression and improvement fuels upgrades such as sharding and layer-2 rollups.
At the time of writing, ETH price is correcting after gaining more than 55% in the past 40 days. Price volatility is not only expected—it’s the norm. Still, Ethereum’s robust fundamentals and active development continue to pose a serious long-term threat to the No. 2 player.
Avalanche's Promising Rebound
Avalanche (AVAX) protects its network by staking and uses its native token to pay for gas fees. The total supply of AVAX is limited to 720 million. Although Avalanche has plummeted since its ATH of $55 in December, it is certainly poised for a comeback in 2023.
The price is now nearing its major support area. The oversold stochastic indicator further hints that Avalanche is due for a rebound, somewhere around 15%-21%. This powerful potential for recovery, coupled with its distinctive characteristics and functionality, positions Avalanche as an altcoin to keep a close eye on.
