Solana SOL/USD, often described as an Ethereum ETH/USD killer, continues to rally despite major cryptocurrencies taking a beating on Tuesday.
What Happened: The token of the project focused on decentralized apps, decentralized finance, and scalability traded 3.48% higher at $178.57 even as the global cryptocurrency market cap fell 10.92% to $2.1 trillion.
See Also: How To Buy Solana (SOL)
Against Bitcoin BTC/USD and Ethereum ETH/USD, SOL rose 15.12% and 15.33% respectively over 24 hours.
In the last seven days, SOL has risen 61.3%, while the gain over a 30-day period was 382.71%
SOL has soared an eye-popping 9,280.70% so far this year putting it behind just Telcoin TEL/USD and Axie Infinity AXS/USD in terms of year-to-date gains and significantly ahead of Dogecoin DOGE/USD.
Why It Matters: Solana saw relatively high interest on Twitter at press time just behind BTC, ETH, and Elrond EGLD/USD. 'Crypto Twitter' has been in awe of Solana’s meteoric rise in recent days.
See Also: Solana Flips Dogecoin To Become World's 7th Largest Crypto: What's Going On?
Investor Lark Davis noted on the social media platform that SOL was an ETH competitor “gunning for market share” with “dirt cheap fees.”
Davis said while ETH has layer two scaling solutions SOL “scales here and now without L2s.”As per his analysis, other factors that are contributing to SOL’s upward price action are ‘dozens of applications” built on the network coupled with non fungible tokens.
Dan Held, Director of Growth Marketing at Kraken, asked if SOL was a better smart contract platform than Ethereum to which analyst Willy Woo said “DeFi apps that run on it run a lot better.”
Inflows remain strong in SOL touching $13.2 million last week, which is double its total inflows year-to-date, as per a report from Coinshares, a digital asset management firm. Notably, this figure is considerably higher than the $7.1 million inflows recorded at end August.
Assets under management have reached $44 million as of last week, from $15 million recorded in the previous week.
SOL figures are now nearly matching those of ETH, which recorded inflows totaling $14.4 million.
However, ETH market dominance is well entrenched as it touches a record 28%, according to the report.
“While some investors have protocol concerns, its [Ethereum’s] dominance [continues] to rise,” wrote Coinshares.
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