If You Are Not Seeking Out Gems You Simply Won’t Find Them
It may sound rather obvious but unless you are actively seeking out altcoin gems, you are not going to find them. You need to be studying price action, market cap and other metrics in order to actually identify potential gems. How else will you be able to spot them? Every now and again, when the market allows it, I go on a bit of a deep dive for potential altcoin gems. This will see me browsing through CoinGecko and some of the exchanges I utilize to find under the radar projects. I also use this time to see which projects are worthy of further investment and will add to existing positions if the conditions are attractive or even acceptable.
I was initially intrigued by Solana due to FTX adopting the blockchain. This encouraged me to begin investigating Solana, to see what might cause a leading name to choose SOL over ETH, BSC and other potential alternative blockchains.
What I discovered was rather impressive. Solana can process up to 50K transactions per second. At the time of writing my article on Solana, approximately 6 months ago, the average cost per transaction was $0.00001! The average fee at the time of writing this article is $0.00025, which is still super affordable. Scalability and cost efficiency are two of the most important factors to consider when seeking out a blockchain for mass adoption, or even just a significant user base. The ranking of Solana back then was 129, which when you consider that SOL just broke into the Top 10, only serves to confirm how this project has absolutely exploded in a matter of only 6 months.
I had initially thought that I had bought my first position of SOL at $3 but a dive into my history today revealed that it was actually approximately $0.24! In hindsight I sincerely wish I had bought more but at least I did manage to secure a position at those levels and am still hodling.
During the early days of FTX, the project formed a strong relationship with Binance, which they later u-turned on. This was one of the most important signs for me, as most projects will endeavor to leverage the Binance name in order to gain traction and rise to prominence. The move by FTX displayed that not only were they not that interested in riding the Binance wave but that FTX was actually challenging Binance for dominance. FTX were indeed aiming very high and they were choosing to build their DEX on Solana. Sam would need to have a lot of confidence in Solana if he was using it as the base layer to Serum as he challenged Binance for supremacy.
When you look at what the Solana blockchain is capable of and that big players such as Sam from FTX have chosen it as a base layer, it becomes pretty obvious that there is a bright future ahead. Assessing these facts and fundamentals lead me to take a very strong view in regard to Solana and Solana based projects such as Raydium, which I also wrote about 6 months ago.
The typical effect is now busy playing out on the top projects built on Solana. After DOT pumped, the projects built on DOT followed, such as Kusama and others. We are now seeing both Raydium and Serum pumping in excess of 30% today.
Congrats to my readers that chose to invest in Solana 6 months ago. To the content creators busy scrambling to push out content about Solana now, all the best! Thanks for reading.