Raoul Pal, a major crypto analyst, has just dumped his Bitcoin and altcoin holdings in favour of Solana.
Pal's decision comes from several analysts warning of similarities between Solana and sub-$500 Ethereum's performance.
Solana's price has already outperformed Bitcoin and Ethereum this year, indicating potential for further growth.
Recent interest from major financial institutions like Franklin Templeton has added to the Solana hype.
While Pal's bet on Solana is risky, a 9 - 47x market upswing could lead to massive gains for his portfolio.
Renowned analyst and Real Vision CEO Raoul Pal recently made a dramatic change to his crypto portfolio.
Despite the relative health of the general crypto market and Bitcoin's increasing attempts to break above $70,000, Pal has shifted his focus from the crypto king (and every other altcoin) and has doubled down on Solana.
What could be going on, and why did Pal suddenly decide to do this?
Is something huge incoming for Solana? Let’s find out.
In a recent video address, Pal mentioned that he was shifting his focus into Solana and had now reallocated an impressive 90% of his liquid assets into the cryptocurrency.
Interestingly, analysts and traders have been increasingly following this trend by dumping Bitcoin and doubling down on specific altcoins with high growth potential.
Some of the most popular choices among investors remain Dogecoin, XRP, Solana and a handful of other top-30 altcoins.
In the video, Pal detailed his portfolio redress, stating, “90% of my liquid network is basically allocated right now to Solana. I don’t have much Bitcoin right now. It doesn’t mean that I don’t like Bitcoin; I think the others go up more, simple as that,”
For starters, crypto analyst Inmortal posted an interesting price chart during the week.
The chart featured a snapshot of Ethereum's price action underneath the $500 price level sometime in 2020, before its eventual attempt to break above $5,000 only a few months later in late 2021.
According to Inmortal, Solana is showing an almost uncanny resemblance to Ethereum and could be gearing up for an upswing to $1,000.
Pal mentioned something like this in an earlier video on YouTube: "So when I flip up the chart of ETH from 2018 and put it against Solana, they are pretty much identical. ETH did 47X from that low,"
Again, this echoes an earlier tweet from Ali last week, when the analyst mentioned that Solana is targetting the $1,000 zone in a bull pennant formation that could lead the cryptocurrency up by a staggering 900%.
"Solana is eyeing $1,000!" the analyst said. "Early signs of a breakout from a bull pennant suggest a potential 900% rally ahead."
Year to date, Solana has increased by a staggering 75%, making it a better performer than both Ethereum and Bitcoin, with gains of 58% and 42%, respectively.
All of this shows that Pal's optimism for Solana isn't based on blind hope but on several analysts saying the same thing: "Solana is about to explode".
Another major event that has been adding to the Solana hype so far is the recent endorsement from Franklin Templeton (which manages over $1.5 trillion AUM from all over the world).
The firm took to Twitter during the week to express optimism and interest in Solana, even mentioning it by name.
This has fueled speculation about an incoming spot Solana ETF, considering how Franklin Templeton was one of the major issuers of the recently approved Ethereum ETFs.
Overall, Pal’s decision to allocate 90% of his holdings to Solana is a risky bet in any case.
However, if this bet does pay off and the crypto market enters a new phase, Pal’s portfolio might be headed for a massive shakeup.
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