Is SOL Undervalued? 83% Discount to ETH? | Michael Nadeau
Bankless
Bankless
4.7 • 1.2K Ratings
🗓️ 17 July 2024
⏱️ 75 minutes
🧾️ Download transcript
Summary
SOL is currently trading at an 83% discount to ETH - should it be?
Michael Nadeau is a crypto analyst who can help us answer this question. His approach isn’t technical, he isn’t a decentralization-maximalist, and he doesn’t represent any specific tribe. Instead, he focuses on current on-chain fundamentals like daily active users, fee revenue, and Total Value Locked to provide insights.
In our discussion, we explore why fundamentals matter when analyzing crypto assets like ETH and SOL. We review the data for 2024 to see who’s winning and examine the catalysts for both ETH and SOL. Additionally, Michael shares his price predictions for ETH and SOL this cycle and offers insights on which asset will outperform the other in the second half of the bear market.
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TIMESTAMPS
00:00:00 Start
00:02:59 Are Fundamentals Having a Moment?
00:08:59 Solana's 83% Discount
00:12:11 Fundamentals Data
00:17:09 Fees, SOL vs ETH
00:19:52 Fee Generation & MEV
00:22:36 DEX Volume
00:25:31 Stablecoin Volume
00:28:08 Total Value Locked
00:31:49 Core Devs
00:34:50 Value Accrual
00:41:45 The Bull Case For Ether
00:49:22 Upcoming Catalysts
00:57:09 Qualitative Differences
00:59:40 Price: SOL vs ETH
01:04:10 Price Targets
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RESOURCES
Michael's Report: https://thedefireport.io/research/sol-discount-eth
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Not financial or tax advice. See our investment disclosures here:
https://www.bankless.com/disclosures
Transcript
Click on a timestamp to play from that location
| 0:00.0 | If Salana gets into that $15,000 per coin for Eth, if Salana gets into that $450 billion range that gets you above $900. |
| 0:10.0 | Bankless Nation, the price of the Soul token is currently trading at an 83% discount to |
| 0:18.7 | Ether. |
| 0:19.7 | The question is, should it be trading at a discount? |
| 0:22.4 | We have Michael NATO on the podcast today. He is |
| 0:24.3 | a crypto analyst who can help us answer this question I think is a very relevant one for |
| 0:28.1 | investors. His lens really isn't technical. He's not a decentralization maxi. He doesn't represent tribe A or tribe B. He just looks |
| 0:36.9 | at current on-chain fundamentals like daily active users and fee revenue and total valued |
| 0:42.1 | locked of these respective networks to answer the question of what |
| 0:46.3 | should these assets be worth. A few things we discuss on today's episode. Number one, why |
| 0:50.8 | fundamentals matter when we analyze crypto assets like ether and soul. |
| 0:55.0 | Number two, the data for 2024, and who's winning? Number three, the catalyst for ether and the catalyst for soul. |
| 1:01.0 | Number four, his price predictions for ether and soul this cycle, |
| 1:05.4 | which asset will outperform the other on a relative basis in the second half of this bull market. |
| 1:11.6 | I won't spoil this now, You got to wait till the end. |
| 1:13.6 | And before we get there got an announcement from our friends over at the Staking |
| 1:17.3 | Protocol Puffer. So you probably know Puffer as an Ethereum staking protocol. |
| 1:21.0 | Well now they're doing something even more exciting. |
| 1:23.7 | They're releasing a roll-up that helps solve Ethereum's layer 2 fragmentation problem. |
| 1:28.2 | That's a problem we've been talking about a lot on bank lists. |
| 1:30.4 | It's called a based roll-up and it's called Puffer Unify. We are really excited about based-roll-up tech. You've probably heard Justin Drake on the podcast talk about it. How does it work? Puffer Unify leverages layer one sequencing, integrates pre-confirmations from Puffer's restaked validators. |
| 1:46.8 | So all of that results in benefits like synchronous composability and unified liquidity in Ethereal's layer one. So this fixes |
... |
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