Crypto analyst Nicholas Merten has analyzed three Layer-1 blockchains—Ethereum, Solana, and Sui—to assess their potential impact on the market by 2025, based on their price action, adoption trends, and performance metrics.
Merten highlighted Ethereum’s slower growth compared to Bitcoin, with its value decreasing steadily since its 2021 peak against BTC. Despite strong fundamentals, such as stablecoin liquidity and DeFi adoption, Ethereum faces challenges from Layer-2 networks like Optimism and Arbitrum, which are drawing activity and app revenue away.
The analyst advised investors to be cautious with Ethereum and wait for stronger trends before getting more involved.
Solana, on the other hand, has shown strong performance relative to Ethereum, maintaining a neutral price action with Bitcoin since 2021, according to Merten. Its growth is evident from key metrics like stablecoin liquidity, which has grown from the bear market lows, and app revenue, which has surged dramatically.
In November, Solana hit a peak of $80 million in daily fees, and even during slower periods, it maintains strong daily revenue. This growth has led to Solana outpacing Ethereum in terms of price action. Merten stated that if Solana can break certain resistance levels, it could further strengthen its position as a leading blockchain.
Finally, Merten discussed SUI, a fresh player in the blockchain space that has been making headlines but is still in the early stages.
While its technology looks promising, the actual adoption isn’t there yet. The metrics, like stablecoin liquidity and app usage, are growing but aren’t impressive enough to match the hype. Despite this, SUI has been outperforming Solana in terms of price, showing it’s capable of growth. Merten pointed it out as an exciting, yet risky investment for those willing to bet on its future.
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