Why Solana, Cardano, and Avalanche Are Surging Higher Today
Capital flows into Ethereum and its competing smart contract blockchain networks appear to be the primary driver for all three coins. Solana and Avalanche lead all altcoins in capital flows over the last week, indicating that investors are looking for decentralized finance (DeFi) networks to buy on the dip during this recent market upheaval.
On a year-to-date basis, Avalanche has beaten all altcoins, attracting $25 million in capital inflows. However, these inflows appear to be quite lumpy, implying that larger traders are driving the price action of this coin.
So, what is it?
The recent increase in correlation between high-growth equities and cryptocurrencies suggests that capital flows are more important than ever. These three major Ethereum competitors are experiencing a lot of interest from investors searching for capital flow data outside of the Ethereum network. Indeed, investors seeking crypto investments that can benefit from the rise of decentralized finance appear to be focusing on the leading networks in this space.
So, what now?
Solana, Cardano, and Avalanche are three crypto projects that I believe are well worth investigating. Ethereum bulls may be able to sleep easy at night knowing how large the Ethereum network is in terms of decentralized finance. These three networks, on the other hand, are catching up and experiencing greater investor interest as a result of a spike in developer interest in these rival smart contract-enabled networks.
This one-horse race has undoubtedly evolved into what might become an oligopolistic setting, with Solana, Cardano, and Avalanche controlling a growing portion of the DeFi world. These three networks are attractive alternatives to watch right now for investors eager to follow the money.