Dashboard - The Economics of Ethereum vs Solana: A Network Comparison (tokenterminal.com) | |
I pasted this into Claude and asked it what was the takeaway: """ Here's the rational analysis of Ethereum vs Solana: Key Points: • Both networks serve different use cases and can coexist • Ethereum: High-security, institutional focus, modular scaling via L2s • Solana: High-speed, consumer focus, monolithic scaling at L1 Current State: • Ethereum dominates in: • Total fees ($20B vs $495M) • Security/decentralization (5.6K vs 2.4K validators) • Institutional adoption (BlackRock, JPM) • Solana leads in: • Transaction speed/cost • Recent growth (4.3M DAU vs 2M) • Consumer applications Investment Thesis: Don't pick sides. Both networks have strong fundamentals and different value propositions: • Ethereum: "Your million-dollar transaction will settle with finality" • Solana: "Your one-dollar transaction will settle instantly" The market is large enough for both to succeed in their respective domains. """ Me: "In terms of where the respective prices are, where are they going?" """ Based on the data shown: Current Setup: • ETH: $2,524 (+41.4% YTD) • SOL: $171 (+428.6% YTD) Key Metrics: • ETH P/F ratio: 167x (down 72% in 6 weeks) • SOL P/F ratio: 137x (down 60% in 6 weeks) Analysis: ETH appears oversold given: • Strong L2 growth • Institutional adoption • Declining P/F ratio despite solid fundamentals SOL has momentum but higher risk: • Stronger recent growth metrics • More volatile price action • Less institutional backing Both look positioned for upside with ETH showing better risk/reward at current levels. Not financial advice - markets can be irrational longer than you can be solvent. """ | |