Solana GitHub Activity Up 10.7% in October Despite SOL Price Stagnation

Solana has been struggling to build the momentum needed to break above $150, but that hasn’t deterred developers from entering the ecosystem.

In fact, the network has experienced strong development activity so far this month.

Solana Developers Press forward

According to Santiment’s latest findings, as of the first week of October, notable events on Solana’s GitHub had increased by 10.7%, indicating strong developer engagement.

Looking at the development activity of entire crypto ecosystems provides good long-term roadmaps for which ones are innovating and winning in the ultra-competitive competition this sector offers.

From the first week of October, Solana has continued to emerge with an increase of +10.7%… pic.twitter.com/Y5hOxJpHJl

— Santiment (@santimentfeed) October 7, 2024

This upward trend suggests that its ecosystem is actively working to improve its infrastructure and features. Following their development activity are Arbitrum and Avalanche, which have also seen development growth, with a 5.2% increase in GitHub activity.

Solana and its ecosystem were closely linked to the now-defunct crypto exchange FTX, and the fallout from those connections (operational mishaps, financial losses, and reputational damage) led to a major sell-off of the SOL token. This drop compounded existing concerns about the network’s history of outages and failures, causing many in the market to lose faith in the project.

However, according to a recent report by digital asset banking group Sygnum, the continued “dedication” of Solana’s developers was instrumental in the token’s recovery.

As such, Solana also appears to have substantially outperformed another rival, Ethereum, since early 2023.

Sygnum noted that even mainstream financial institutions seem to prioritize Solana’s high scalability over Ethereum’s superior security. The bank added in its report that if a trend develops where major traditional financial institutions prefer Solana for tokenization and stablecoin issuance over Ethereum, it could significantly benefit the blockchain, thereby improving much its potential to rival Ethereum.

Solana may be undervalued compared to Ethereum

In a separate analysis, VanEck’s research department, MarketVector, recently highlighted that Solana outperforms Ethereum by a wide margin in areas such as transaction volume, daily active users, and transaction fees.

According to MarketVector’s analysis, the current price of SOL may be undervalued compared to ETH. The report’s author, Martin Leinweber, suggested that if Solana “continues to outperform in transaction volume and user engagement,” its market capitalization could reach 50% of Ethereum’s. If this scenario plays out, SOL could rise to $330, given Ethereum’s current price of $2,620 and a market cap of $315 billion.

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