Journalist
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Key Takeaways
Why is Solana outperforming Ethereum?
Solana’s capital rotation, off-exchange accumulation, and $0.005 fees are fueling gains and adoption.
How does SOL’s activity stack up?
SOL’s daily token volume is up 135% MTD (nearly 10x ETH’s flow), aligning with its 17% monthly gain.
On-chain, capital is rotating out of Ethereum [ETH] into Solana [SOL].
Since the 9th of September, Solana’s exchange supply slid from 5.29% to 4.72%, pointing to off-exchange accumulation.
That’s about 9.06 milion SOL leaving exchanges, fueling SOL’s 16.19% weekly bounce to $250.
Ethereum, on the other hand, saw nearly 20,000 moved onto exchanges, thinning its bullish grip. Backing this shift, the SOL/ETH ratio ripped 8.66%, at press time, marking its biggest weekly spike since early April.
Source: TradingView (SOL/ETH)
Simply put, FOMO’s clearly chasing Solana this cycle.
The setup speaks for itself: Until mid-Q3, Ethereum was hogging altcoin capital with 90%+ ROI, pushing dominance to a yearly high of 15%. Now, it’s pulled back 8.3%, while SOL is drawing 8x ETH’s monthly 7% gains.
In short, Solana is pulling capital from Ethereum. On-chain divergence shows smart money is actively repositioning.
According to AMBCrypto, this rotation could set the tone for how flows play out heading into Q4.
