Ethereum’s recent 8% drop since February 20 and 10% over the past three years have led some to wonder if the coin is due for a long-term buy. A hack of cryptocurrency exchange Bybit has drained $1.4 billion in funds, mostly from Ethereum and its derivatives. However, experts believe this incident does not significantly impact the investment thesis for buying and holding Ethereum.
The motivations behind the Bybit hack are complex, with the stolen funds largely laundered through Solana (SOL) before being used to launch meme coins. The low gas fees and fast transaction times on Solana make it a more attractive option for hackers looking to quickly escape with their ill-gotten gains. This could be beneficial for investors who want to buy the dip in SOL instead of Ethereum.
The differences between Ethereum and Solana are not limited to the hackers. For blockchain developers, traders, and investors, lower gas fees and faster transaction times on Solana make it a more convenient option. This has led to Solana’s emergence as a winner in infrastructure for AI agents and potentially making it eat Ethereum’s lunch in emerging segments.
Investors should consider whether buying Ethereum is the right move before investing $1,000. A closer look at the Motley Fool Stock Advisor analyst team’s 10 best stocks for investors to buy now may provide alternative investment options with more promising returns.
Note: The author has positions in Ethereum and Solana.
Source: https://www.nasdaq.com/articles/1-new-reason-buy-dip-ethereum