Former Goldman Sachs executive Raoul Pal says one particular Ethereum (ETH) rival is likely to outshine the rest of the crypto markets next bull cycle.
In a new ask me anything (AMA) session, the Real Vision founder says that while the Solana (SOL) blockchain has had technical issues as of late, that doesn’t negate the Ethereum rival’s sky-high activity on-chain and network growth.
“I like Solana. Yes, I understand it keeps breaking. Yes, I also understand that everybody knows that so there is no informational edge in that whatsoever. Therefore, if it survives breaking and it’s one of the largest crypto protocols and it has more activity than any other chain outside of Ethereum, then the likelihood that Solana participates well in the next up cycle is very high to me.
So I like Solana, it’s one for me.”
Pal says that most asset classes are driven by the growth of central banks’ balance sheets, and when they expand, they tend to debase fiat currencies.
The macro expert says that the only sectors that usually outperform currency debasement in real terms are cryptocurrency and technology stocks, which is why he remains long-term bullish on digital assets.
“What’s really is interesting is when you do divide everything by the central bank balance sheet, what outperforms the debasement of fiat currencies? Only two things in the world: the two things are, cryptocurrency – Bitcoin and Ethereum – and tech stocks, because they are both secular trends in technology. Nothing else outperforms the Fed balance sheet, so even real estate [is] pretty much sideways. It does its job, you maintain wealth, you do not make wealth.”
Source : dailyhodl