Solana Faces Competition – Can SUI or SEI Overtake It as the Next Market Leader
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Ethereum’s most feared cryptocurrency, Solana ($SOL), is facing stiff competition from new scaleable Layer 1s that are growing in price at a much quicker rate.
In the last 24 hours, the $73 billion market cap Solana outperformed market leader Bitcoin ($BTC). $SOL added 1.2% to hit its current price of $157.
Bitcoin only rose nominally over the same period. $BTC added 0.4% and currently trades for $63,773.
Sui ($SUI) and Sei ($SEI) both outpaced Solana in the last 24 hours.
The two similarly-named projects are unaffiliated, but both Layer 1 tokens have been rising in tandem recently.
Sui rose 9.2% overnight and currently trades at $1.90—a tantalising 12.5% short of posting a new all-time high—while Sei added 3.1% to change hands at $0.4805.
Like Solana and Ethereum, Sui Network deploys high-functionality smart contracts, enabling developers to build a world of decentralized applications (dApps) offering services from financial services to gaming.
Meanwhile, Sei is an eponymous Layer 1 protocol that provides infrastructure for building decentralized exchanges (DEXs).
Generally speaking, a cursory glance at the tokens’ market caps highlights just how far Sui and Sei have to climb to challenge Solana’s dominance.
Sui currently has a market cap of $5.2 billion while Sei’s is $1.7 billion, meaning neither of them have cornered even a tenth of Solana’s market cap.
However, Solana has been in a jam since a market-wide crash on August 5 bottomed its price at $110.
Since then, new resistance has formed around $160, as highlighted by the red horizontal line. Recent bottoms suggest support has formed around $120, as shown by the
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