A popular crypto analyst, known as Pentoshi, has shared his updated outlook on two leading smart contract-enabled blockchain platforms: Ethereum (ETH) and Solana (SOL). With a Twitter following of 694,700, Pentoshi believes that the amount of Ethereum staked now exceeds the amount available on centralized exchanges. He explains that once the number of sellers diminishes, the price of Ethereum is likely to appreciate. Pentoshi also highlights Ethereum’s burning mechanism, which can make it deflationary and serve as a basis for a rally. However, he suggests that we may still be some time away from a true bull run, and the first time we’ll witness Ethereum’s potential is after the Bitcoin halving where every trade on-chain will utilize it. He notes that he will keep its deflationary nature and supply sink from staking in mind while trading this year.
On the other hand, Pentoshi predicts that Solana, the 10th-largest crypto asset by market cap, may experience a slight decline between July and September. However, he expresses surprise at how many people are writing it off despite its potential.
Looking at Ethereum, Pentoshi emphasizes the growing proportion of staked Ethereum compared to the amount available on centralized exchanges. This observation suggests that individuals are showing more interest in staking their Ethereum rather than trading or selling it on exchanges. As the number of sellers decreases, the analyst anticipates that the balance will shift and prices will appreciate.
In addition to the rising staking interest, Pentoshi points out Ethereum’s burning mechanism. This mechanism, which occasionally makes Ethereum deflationary, could further contribute to its price rally. The analyst believes that despite the current market conditions, Ethereum’s new “pumpamentals” have not been witnessed in a truly bullish environment yet. He expects the first opportunity to fully showcase Ethereum’s potential to come after Bitcoin’s halving event, as every trade on the blockchain will involve Ethereum. This increased usage, combined with its deflationary nature and the supply sink caused by staking, will likely have a positive impact on the Ethereum price.
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Transitioning to Solana, Pentoshi acknowledges that the 10th-largest cryptocurrency by market cap may experience a mild decline between July and September. However, he expresses surprise at the number of people underestimating Solana’s potential. Despite the anticipated dip in its price, Pentoshi suggests that it may present an opportunity for investors to purchase Solana at a lower price before its potential is recognized and realized.
In summary, Pentoshi provides an updated outlook on Ethereum and Solana. The increasing amount of staked Ethereum compared to the available supply on exchanges suggests that the balance is shifting, which may lead to a price appreciation. With Ethereum’s burning mechanism and the upcoming Bitcoin halving event, Pentoshi believes that Ethereum’s true potential has yet to be fully seen. As for Solana, Pentoshi expects a potential price dip in the coming months but emphasizes the underlying strength of the blockchain platform.
