• Are Solana and Avalanche good HODLing stocks for investors?

  • Altcoins have progressed from being random names next to Bitcoin and Ethereum on the rankings list to carving out a distinct niche for themselves. Indeed, without an increase in alt adoption, the global crypto-market cap would never have reached its current level.

    Unfortunately, there are thousands of cryptos. And, as the task of narrowing down becomes more difficult, investors may become disoriented. The unanswered question remains, as it always does: Which alts are worth HODLing?

    Examining alternates that have stood out

    A few altcoins have gotten a lot of attention in the last week due to their impressive ROIs. According to CMC data, the value of Avalanche, Solana, Audius, and Helium increased by 140.2 percent, 79.6 percent, 84.8 percent, and 41%, respectively, over the week.

    In fact, other coins/tokens in the top 15 have not been able to gain more than 28 percent. As a result, lesser-known alts have recently made a splash.

    What’s causing the uptick?

    It goes without saying that Solana has been at the forefront of the recent altcoin rally. SOL recently dethroned Uniswap and firmly established itself in the top ten. In addition, the network has been dominating the DeFi market by giving Ethereum a run for its money. Apart from the launch of the Wormhole bridge, Solana blockchain’s first NFT platform, Solanart, has been doing quite well recently.

    All of these factors have had a significant impact on the alt’s price.

    Avalanche, on the other hand, has recently been expanding its ecosystem. For example, on August 18th, Avalanche Rush, a $180 million liquidity mining incentive program, was launched in collaboration with Aave and Curve to introduce more assets and apps to its evolving DeFi ecosystem. In fact, it has had a knock-on effect on the TVL of several other protocols on the network. Another major catalyst that has aided this alt’s rally has been the release of the Avalanche Bridge.

    The majority of on-chain indicators have improved in the last week. In terms of trading volumes, Solana and Avalanche had higher numbers at the time of writing (2.02 billion and 1.19 billion, respectively) than AUDIO and HNT (111.25 million and 104.22 million).

    The Helium network, for that matter, has been working on new use cases as well. This network is well-known in the community for providing its users with decentralized wireless infrastructure. Notably, IoT sensor development has been ongoing on the network for quite some time.

    However, development activity had little to do with the price increase for Audius. The appreciation was largely due to the publicity generated by its partnership with TikTok. Evidently, the excitement has waned, and there is little hope of the alt rally resuming in the near term.

    Reaction of the Market

    Solana once again led the alt pack in terms of development activity contributors, with a metric reading of 37.

    When compared to SOL (11 and 9, respectively), AUDIO and AVAX had only a third of the developers working on the network. Surprisingly, no developer has recently worked on the Helium ecosystem’s network.

    In addition, the social sentiment of all of these alts has risen dramatically in recent days. As shown in the attached chart, Solana and Avalanche drew significantly more attention (2.64 percent and 1.1 percent, respectively) than AUDIO and HNT.

    Which alternatives are worth relying on?

    After considering all of the aforementioned factors, it is reasonable to conclude that Solana and Avalanche are superior hold options when compared to Helium and Audius.

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