Everyone we kevin here in this video. We are going to talk about solana and if, for whatever reason, i accidentally say salon, no, it's only because i'm always talking about cardan no, but this is salan and i got ta get that through my head. Anyways solana has been creeping up in the top 20 to now the top six position, just bypassing xrp for the number six spot in the top 20 set of tokens here, solana, currently up six six, six percent and up twenty one point: six: six percent. A lot of six is there twenty one point: six: six percent in the last seven days.

This compares to a decrease of two point: four percent of card; no uh; an increase of three point: two three percent on ethereum and a decrease of roughly one percent on bitcoin. So what the heck is selana, that's what we're going to talk about in this video? I'm gon na keep it short, i'm gon na get to the point. I'm gon na tell you what she needed to know and everything else, and the best thing to do is for me to just get started right after i mentioned that there is a program on building your wealth, actually, a lot of programs on building your wealth linked Down below with a coupon code expiring on october 29th, every time one of these expires, the price goes up, you buy, and now you lock in all the future content for those programs forever for life, so check those programs out linked down below and get in before. Next friday, all right solana has been described as by some, of course, supporters as a better alternative to bitcoin and ethereum.

By now, this is kind of like an eye ruler, and that is not a dis on solana. I'm just saying, like literally everyone says, their coin is better than bitcoin or ethereum, and that's true because all there are a lot of problems with bitcoin transactions are too slow with bitcoin. Under the current regime, transactions are too expensive under ethereum under the current regime. Now, of course, bitcoin, maxis and ethereum enthusiasts say well stay tuned, because once we get ethereum 2.0, once we get to lightning y'all screwed, all the other coins are not going to be worth anything because bitcoin and ethereum are going to be the mainstays which, who knows We'll see what happens, but again, this video is about solana, so solana.

My many right now considers solana to be better because it is a faster. It claims to process 6500 transactions per second, it's worth. Comparing that visa does about 1700 transactions per second on average, not a cap behrens thinks that solana could do about 65 000 per second and coinbase says solana can do about 50 000 per second, which these numbers are really really big and good, and this is being Done at a cost of just a quarter of a one cent per transaction, so if you hate gas fees, just as much as i do, solana could be for you making it faster and cheaper than ethereum. The way it is now solana also has the benefit of being a programmable blockchain, much like cardana cardano, meaning it's capable of smart contracts.

Now solana is not built on ethereum or and is not sort of a copy and paste of bitcoin, it's its entirely own blockchain. It's not a layer two, it is a layer, one blockchain, which means it's not again, built on top of something else. Solana can provide those cheaper and faster transactions because of its unique validation methods, and this is going to be important. Validating is just a fancy way of saying verifying transactions to make sure that they're, legitimate now solana doesn't use the traditional proof of stake system.

Instead, it uses a slight variant on proof of stake. It uses something known as proof of history. Proof of history is very similar to proof of stake, except it tries to lighten the load on the network by including, and it's as simple as this encoded time stamps, so, basically a timestamp in each transaction. It then bypasses the need for the network itself to create that timestamp and, in essence requires less computational power by validators, because every single transaction already has an encoded timestamp, in other words the validators.

So the people trying to verify the transactions don't have to go. Oh man, okay, which one of these do we process. First, that's proof of history and now i'm way oversimplifying - and i know that, but these encoded time stamps and a system called c level allow solana to process thousands of transactions at the same time and in parallel with each other, the proof of system or the proof Of history system, encodes timestamps into transactions before they're sent to the blockchain again allowing the blockchain to calculate thousands at the same time without having to worry about the order of transaction, a problem that ethereum does deal with now, solana is capable of using smart contracts as Well - and this is where things will get fun, because we're going to talk about nfts and some of the other cool things going on. However, solana has uh recently had a little bit of a black mark, one of the reasons that had a black mark and i'm going to explain what it is, but i'm also going to explain whether or not you should worry about it.

Solana was it sort of. Has this black mark, because on september 14th, the solana network suffered a dos attack, a denial of service attack. Now, solana's transaction load basically peaked at around 400 000 transactions right before the crash, which is insane and is almost 200 times as much as the average transactional volume that we see right now. Now that's actually really cool, because it proves that up to somewhere around three four hundred thousand, it can actually process a ton of transactions, which is amazing, and we don't know if this was a malicious attack like a ddos attack or if this was just a denial Of service, because of an overload most speculate that this was just an overload because of the minting of new nfts and bots trying to fight to get these new nfts big mess.

Anyway, the surge in transactions caused a memory error resulting in transactions crashing validators systems. In other words, the people who have their computers, like potentially this one right here running and validating people's transactions in the background, had to restart this caused the entire system to crash and the system, and this is what was sort of on eyebrow razer. The system was then able to be restarted and the issue was resolved when the community pushed a hard fork onto the network, but in order to push this hard fork, they needed 80 percent of the stake to approve the hard fork, which means and we'll see this. In a moment, they needed a whole lot of the validators to get together and go yep.

Let's vote yes on this hard fork, let's restart the system and go in this hard fork direction to bypass this memory issue. When the blockchain network went down the validators, somehow coordinated together, presumably through their discord, because they have a discord to communicate together a centralized platform for communicating all of a sudden. The network came back up because 80 of the stake voted within a couple hours to approve. This new fork this suggests that the validators knew each other duh because they're all in the same discord together.

But people now look at that and go wait. A minute salon is supposed to be a decentralized currency and if everybody was able to get together so quickly and fix a problem that kind of makes this seem like a centralized currency and wait a minute. We like define or decentralized finance. Well, this is where then, you have folks, like professor griffin going on to say that solana needs to balance trade-offs of ultimately fast payments and a secure decentralized network.

This particular professor argues that the fact that validators were able to coordinate restarting the network means the centralized blockchain. It means it is a centralized blockchain, not a decentralized one right, that's the argument. This person is making that argument. Currently there are over 1 000 validators and that number has doubled in just the last few months uh.

So the car, the solano salon, uh defined network, is growing way faster than cardano's right now, then, on october 16th, you add motley fool: release an article saying hey. Despite this buy the solana dip and they argued that they're tr, that the transaction cost of using solana is very desirable. That developers of the stablecoin usd coin usdc have issued over 2.3 billion dollars worth of usdc for use on the blockchain network of solana and we're seeing a massive growth in d apps we've had over 208 different d, apps or d5 decentralized finance applications built on solana Versus uh well, 2866 on ethereum, but still it's a newer blockchain and it's growing pretty decently and pretty well now. The big counter argument here, as of of course, friday october 22nd 2021 - is that hey look dude, we're getting more decentralized like chill out about calling us centralized we're, not we're decentralized, because look: we've got 1127 validators.

This is according to solana, beach, dot, io, where you can see statistics and get this. We actually have a larger amount of validators required to get to the minimum one third to get any kind of fork done in a blockchain, and so solada has 20 different validators to get to that minimum threshold of a third to get any kind of voting done. That's a lot like this would be a problem if it were like one validator controls, one third of the stake. That would be a version of centralized finance right, but then, in order to get to 50 you're at 41 different validators, that's a lot of different validators and that's why people are so excited about this.

Just for reference, if you add up the top 10 validators for the polygon blockchain you're at 61, control of the network to get to 61 control of solana, you've got to get all top 63 validators, so 63 validators versus 10 at polygon. I know polygon is very, very different. I'm not trying to dis on polygon, i'm just saying this whole, like decentralized, centralized thing and this attack on solana. I don't know if it's really justified now before we get into any kind of technical analysis, it's worth noting that there are nfts that use obviously smart contracts, because that's what entities are they're based on smart contracts right and so that's a proof of stake system.

It's all smart contracts, salon art it's worth, noting is the most popular nft marketplace on solana and you can check out stats for this by going to salon art dot, i o, which is kind of cool, we'll, actually do it right now. Salon, art, dot, io, but the seven day volume on salon art, as of yesterday, was 34 million dollars, which is pretty incredible. It's gone down a little bit to about 31 million dollars 31.7 today. This is salon art, dot io, but this is where you could see different collections.

The market cap for the total of these collections is about 500 million dollars and the highest market cap. Nft collection is the degenerate ape collection. That's not necessarily the top here within the last seven days. It's number four: it's jungle caps cats have taken over but degenerate apes have had a sort of market share or market volume.

I should say, of 1.8 million dollars within the last seven days. This compares to jungle cats at about 5.8 million within the last seven days. This also by the way, compares to crypto punks sitting around 10 million dollars in the last seven days, but it doesn't compare to the i believe they're called mecca nfts. They had like an 80 million dollar seven-day surge.

Okay they've had some crazy volume, different blockchain though, but anyway, nft is obviously a lot of excitement when it comes to uh cryptocurrencies, it's kind of fun to look around salon art a little bit. I enjoy it and sometimes the solana, beach dot io website. I have to say it loads really slowly compared to the others, but salon solanabeach.io if you could get it to work. This is where you can oftentimes see some more statistics beyond what i had already shown.

You on the statistics tab that i had preloaded again, not really able to get this to load right now, oh well, we got all cookies in so, oh well! If you want to explore more, defy apps check out radium and solonics. These are some of the most popular d5 sort of app platforms where you can explore these, but you'll want a wallet. The most popular wallets are either phantom or soul flair, sol flare. There is so let but that one's a little bit more for developers, so phantom or soul flare, although i will say in the google chrome score store.

Uh phantom has like a four star review and they're like 100, something reviews and soul flare has about 25 reviews. It's got a better rating, but a little on the low side for the wallets, but that might just be on chrome because you might be able to find different reviews on different platforms, we'll hop on over now to a little bit of ta. I'm still out a little bit of ta here on solana, just worth noting that right now we're obviously seeing a volume pump. Here we saw a volume pump so really start about the 20th and that kind of set off a movement of a lot more people.

Talking about solana, including me and uh, now you're seeing volume substantially higher here on the 21st and the 22nd you've got volume of about 8.2 million so far, today, 7.8 yesterday. That means we're actually at a higher pace right now, 3.84. Before that and the days before that, we were really between one to two on average million of the salanas transacted, that's not dollars. That's of the actual coins transacted right so you'd have for a dollar value.

You'd have to multiply that by about you know, 160 to 190, depending on the day, but anyway, looking at this from a technical point of view, it's obviously in a territory of overbought right now we don't even have to pull up the rsi to know that. Obviously we are extending above moving averages. In fact, an easy thing we could do right here is: we could just go over and uh. Let's try to get sol usd over here on the chart.

There we go now. We can do a little bit more. Let's go to the hour here on weeble. You can see really you're you're bouncing around that 194 level.

Look at that hour here yesterday, at 5 00 a.m. On the 21st, you got a little bit of what was a resistance here there we go. That kind of is becoming a support right now at the time of this recording. This is a little too early to tell, though so, i'm going to make that a little bit of a different color, some of the tricks that i use that i also talk about in the stocks and psychology money group, oopsie daisy here, let's go ahead and make Sure your ta is nice and clean, but anyway you're never really going to remember why you drew your lines.

You got to have a good system set up for your lines and i use colors. But anyway, if we go out a little further, obviously we could see some previous resistance around that 170 level. We can see some troughs over here around 137. So if we go out to the day chart you get a little bit of a better look over here.

You see sort of this recent fall around 1 115 here to about 137. These are some of your recent lows. So, as of september recent lows 115 to 137. Personally, i would love an opportunity to buy solano.

I'm sorry see there. We go with cardano salon uh. If we came back to some of these levels, i'm not very enthused to buy in an overbought position like this, but it's going to be one that i keep an eye out worth noting that just this summer solana was trading somewhere around 25 a coin. So it's exploded.

It's had a lot of enthusiasm, and this ta, i would say, is relatively weak because we just don't have that much history again, you know you could try to strengthen your ta by going down into the 30 minute or the one hour or the five minute. Just to see where this thing plays in recent days, which is fine, go to five minute candlesticks and play over here, see a nice ascending trend here. Maybe we can create uh wedges here, we'll see what's happening right now. It looks like at the time of this recording on five minute we're trending up slightly again, we'll see how this goes good bounce over here, we'll see if we end up running and and breaking some of these uh, these resistance levels here, which are just recently the Recent highs.

214.: i don't know that we'll see that unless there's some kind of big catalyst, so i'd rather bet that there's a chance. This is going to come down again and that's not going to mean there's any problem with the coin. I'm not mr fudd for pointing it out if it goes down if it goes down, i'm tempted to buy myself an nft at a cheaper price. Okay.

Now, in terms of the future, let's talk price first solana does have built-in inflation. It started with eight percent inflation right now. It's at about 5.6 inflation, and eventually it's going to because it's sort of just going down on this sort of a logarithmic function, eventually it'll flatten out at 1.5 percent, consistent inflation it'll take about 11 years. To get to that point, though, we do have a price prediction from coin price that solana could reach as high as 500 by the end of 2021..

Now chamath previously has invested in solana, chamatali papatiya, along with uh some of his buddies. They have invested through multi-coin capital, they invested back in 2017.. They didn't pick the coin, though it's worth noting they invested in the fund and the fund picked this coin multi-coin capital. Obviously, the returns for that investment in 2017 and, quite frankly, any crypto you bought in 2017 have been phenomenal, so stay tuned.

I'm excited about this one, i'm watching this one as i'm watching my other coins as well. Right now, i do not have a stake in this. The only cryptocurrencies i'm gon na make this very, very clear. The only cryptocurrencies i have and remember you get all of my trade alerts, including cryptocurrency in the stocks and psychology money group linked down below with that coupon code expiring next friday.

The only cryptocurrencies i own are cardano about 40 ethereum about 40 and bitcoin about 20. I say about because bitcoin's a little like 18 now and ethereum's like a little higher like 42 43, so we got a little bit of balancing out to do, but that happens in a portfolio. That's why it's called portfolio management anyway. Folks, thank you so much for watching.

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