On Friday (October 14), James Mullarney, the host of the very popular YouTube channel “InvestAnswers”, talked about why he the altcoins he is most bullish on are Solana ($SOL), Polygon ($MATIC), and Fantom ($FTM.
“The only two things that I’ve purchased this whole year, other than sell stuff, was Bitcoin and Solana,. That’s it. And I’ve been swapping out of my ETH position because my goal has always been to make them equate, Solana and Ethereum to be the same size.
“If I had to buy a third one — and sometimes I wouldn’t even consider Ethereum being kind of an altcoin because it’s just so big and on a relative marketing cap valuation perspective, I think it’s very overpriced for what it actually does today… that could change, of course, with adoption — based on the stuff I look at — tokenomics and daily active users, I like MATIC. That would be my number three.
“And if there was a fourth one, if you take out ETH and I had to pick three, it would be Fantom because Fantom is the same number of daily active users as Cordano, but it’s trading at 1/26 of the market cap. And there’s some pretty good speed and technology and stuff, although it’s suffered a lot of hits by Andre leaving, etc.“
On 18 September 2022, the InvestAnswers host released a video in which he explained how he sees $SOL reaching $370:
“What I did was I compared the Bitcoin price to the Ethereum dominance in the future, which I believe will be at least 25%, and that will bring us to an Ethereum price, hypothetically, of $15,450 if Bitcoin goes to $158,000. If Bitcoin doesn’t go to $158,000, that $15,000 price target for Ethereum goes away. And that is a function of the scarcity, the deflationary nature of ETH in proof of stake, etc., etc...
“Now there are two variations for the Solana price: one is 10% of ETH dominance, and the second one is 20% of ETH dominance.“
According to Mullarney, if $SOL reaches 10% of $ETH dominance, then that means the $SOL price could reach $370.
In a YouTube video released on 28 August 2022, Mullarney compared Ethereum and Solana with respect to speed, fees, technology, ecosystem, and finally daily active users (DAUs) and breadth of DApps.
According to a report by The Daily Hodl, here are a few highlights from Mullarney’s comments:
- “Solana wins TPS. Fees are a tie, even though Solana is still cheaper. Technology, Solana we believe is better, even though it has bugs [and] it’s still in beta.“
- “Ecosystem, Ethereum has the edge. It’s been around much longer and has much more.“
- “Daily active users and breadth of DApps, Solana slight edge. Therefore, Solana is the winner.“
As for which of $ETH and $SOL is a bigger bargain (i.e. better from the point of of view of a value investor), he said:
“This is the million-dollar question. If you look at value hunting… I uncovered things like Tesla [and] Google before they had big runs and that’s the key here. You’ve got to get into stuff early before they have big runs… If you look at the relative value of this asset compared to others, let’s just look at market caps. If you combine the market cap of Ethereum and MATIC, it is over 17 times larger than that of Solana. Does it do 17 times more? No. That’s my thesis.“
Featured Image via Pixabay