There’s a battle for supremacy raging among the third generation of blockchains. These are the ultra-fast and scalable smart contract platforms looking to dominate the decentralized finance and application market. Two of the biggest contenders are Solana and Avalanche. On the surface, it’s difficult to tell how these platforms differ. So, let’s do a deep dive into Solana vs Avalanche to find out which crypto asset you should add to your portfolio.
Worth Knowing About Solana
Solana is a smart contract platform that’s built for speed, low-cost transactions, and global scale. Its blockchain can handle around 2,500 transactions per second and has processed over 88 billion transactions on its mainnet so far.
The average Solana transaction cost is just $0.00025, which is extremely low when you compare it to Ethereum’s $0.62. That means you can perform 2,500 transactions on Solana for the price of one transaction on Ethereum. Also, the block time on Solana is just 400 milliseconds.
Popular apps on Solana include play-to-earn games, Bitcoin NFTs, and finance and messaging apps. The main downside to Solana is some investors think the platform has become too centralized, and its currency is manipulated.
SOL Price Forecast
SOL has been trading in the $30-45 range in mid-2022. It currently stands at #9 in the crypto rankings, with a $13 billion market cap. In November of 2021, it had an all-time high of $260. This is remarkable, considering it was trading for under $2 for most of 2020. SOL was one of the drivers of the altcoin boom in 2021, rising over 70% in one week during September 2021, when the platform entered the much-hyped NFT market.
The SOL price has been on a bear run in 2022, but the price has stabilized in June-July 2022. Here are three expert price predictions for where the SOL price will go in 2023 and 2025.
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According to these predictions, SOL is set to rise over the next few years. However, there is wide disagreement over how much, implying that the SOL price has a lot of uncertainty.
Worth Knowing About Avalanche
Avalanche is another decentralized app platform similar to Solana, but with some important technical differences. The most important is the launch of Avalanche subnets, which is a system that allows Avalanche transactions to scale to infinity. It also has thousands of validator nodes, which help contribute to decentralization on the platform.
Avalanche fees can be as low as $0.000004, although congestion has seen them spike to almost $10 in the past. The time to finality (TTF) on Avalanche is less than 2 seconds, which makes Avalanche the fastest blockchain in the industry.
The most popular apps on Avalanche are DeFi applications, such as StableFund and Pangolin Exchange.
AVAX Price Prediction
AVAX has been trading at around $20 in mid-2022. Similar to Solana, it launched in 2020 and had a meteoric price rise from around $3 in 2020 to an all-time high of $146 in November 2022. In September 2021, AVAX jumped 65% in a week and into the crypto top 20 after the Avalanche foundation received an influx of $230 million from a group of investors, including Three Arrows Capital and Polychain. However, the Three Arrows Capital fund has since failed.
The price of AVAX has been relatively stable since June 2022, with the outlook looking neutral in the short term. Here are three expert price predictions for where the AVAX price will go in 2023 and 2025.
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According to these forecasts, the medium and long-term outlook for Avalanche is bright. However, there is almost a 10x difference between the low and high forecasts, implying there is also high uncertainty in the outlook for AVAX.
So Which Is Better?
Summing up the technical and price performances, it’s difficult to pick a winner between these two coins. However, serious investor concerns about centralization and manipulation of the Solana network mean that Avalanche must be picked as the winner and the best crypto investment in this pair. You can invest in AVAX through an anonymous cryptocurrency exchange to keep your identity private. Whichever you choose, blockchain 3.0 platforms are an exciting investment and potentially revolutionary technology!