BitMEX Co-founder Sells Solana for Ethereum, Predicts ETH Price to Reach $5,000

David Pokima
Last updated: | 2 min read
Source: a video screenshot, Youtube

BitMEX co-founder Arthur Hayes says he has sold Solana (SOL) and bought more Ethereum (ETH) despite the recent bullish momentum recorded by SOL. 

In a post on X (formerly Twitter), Hayes stated that he had received an inspiration to support Vitalik Buterin’s Ethereum amid the soaring price of SOL.

Fam … I have a confession to make. I received a msg from the Lord while meditating. He said dump that Sam coin POS, and profess your love for Archangel Vitalik. So I dumped $SOL, and bot more $ETH.”

He also projected the price of the leading altcoin to hit $5,000, a massive stretch of over 100% from its present value at $2,285. Most users on social media spaces found his predictions shocking, noting that Ether’s price might surge but not as high as that in a few months. 

Others opined that $2,400 should be the next phase for a bullish price movement as more institutional investors flow into the market. 

Ethereum has had a strong year surging 93% year-to-date YTD after plunging over 55% in 2022 as institutional investors’ sentiments pointed south due to macroeconomic factors.

Institutional investors remain bullish on ETH

In Q1 and Q2 2023, while Bitcoin (BTC) recorded huge institutional inflow on the heels of spot ETC applications, Ethereum posted sluggish figures dragging into Q3 even with the hype of the futures ETF. 

This can be seen in the slow inflows in institutional funds by investors. While Bitcoin recorded a massive institutional inflow to its products with several weeks of consecutive gains, ETH products recorded outflows although market factors pointed north for the asset. 

Total inflows to Bitcoin funds stand at $1.6 billion while Ethereum is above $10 million with slight gains in Q4. Interestingly, Ethereum’s slow growth did not affect wealth management firms’ sentiment towards the asset.

A recent survey conducted on the projection of crypto assets in the coming months had wealthy managers backing Ethereum despite slow growth in recent months.

According to them, most market indices favor the altcoin and its slow recovery is due to the bear market which saw it lose over 55% of its value. Furthermore, they cited staking on three platforms as a bullish narrative leading to inflows in the coming months. 

Solana marches on

Solana has been described as an institutional favorite this year with consecutive weekly inflows into its investment fund. SOL is up over 8% in the last 24 hours and has flipped Ripple (XRP) in terms of market capitalization.

The asset also topped BNB temporarily before sliding into 5th place notching a 17% increase in the last seven days and a whopping 67% growth over the past month. 

Exchanging hands at $91.7, the asset described as the ETH killer is still a long way behind Ethereum despite recording massive network and community activity.