CZ, the former crypto hedge fund giant 3AC's co-founder Zhu Su, posted on social media platform X yesterday (17) stating that it's time to go all-in on Ethereum (ETH), hinting that Ethereum's competitors may be facing a crisis:
It's time to go all-in on ETH, Vitalik wins by waiting for the bodies of his opponents to float by.
What is Zhu Su implying?
We know that as the second-largest cryptocurrency by market cap, Ethereum's token price has been relatively sluggish in this bull run, and the Ethereum Foundation (EF) has also been questioned by the community due to continuous token unlocking and senior management issues.
In contrast, the veteran public chain Solana, known as the "Ethereum killer", not only survived the FTX exchange bankruptcy turmoil, but also outperformed Ethereum in terms of hype and token price performance in this bull run, thanks to the meme coin craze in its ecosystem.
However, a series of recent events seem to have put Solana in trouble, with its token price and ecosystem facing criticism and doubts from the community. Specifically, these negative news about Solana include:
- Argentine President Javier Milei promoting the Rug meme coin $LIBRA on Solana: The Argentine president had promoted the meme coin $LIBRA on X on February 16, which was seen as an official meme coin similar to TrumpCoin. However, the meme coin development team later fell into a Rug scandal, with many community investors suffering heavy losses. Currently, multiple investigations have claimed that there is a large amount of insider trading and whales on Solana's meme coins, and they are not truly fairly issued.
- Solana facing a large-scale token unlocking: The bankrupt exchange FTX is about to see a large-scale token unlocking on March 1, with an estimated 11.2 million SOL tokens, worth about $2.06 billion, to be unlocked. If these tokens are directly dumped into the secondary market, it will bring huge selling pressure, and the SOL token price may also face downward pressure.
- Pump.fun protocol's revenue plummets: The reason why Solana was able to incubate a crazy meme coin craze in this bull run was also due to the issuance platform Pump.fun in its ecosystem. However, according to DeFiLlama data, Pump.fun's protocol fee revenue on February 16 was only $2.19 million, while on January 25 it was as high as $15.38 million. Meanwhile, on February 17, there was even a situation where all newly deployed meme coins on Pump.fun failed to fill the order book within half an hour, indicating that the current hype of meme coins on Pump.fun has also been hit.
- CZ building BNB Chain: Additionally, it's worth mentioning that Binance founder CZ has been actively helping Binance's own public chain BNB Chain attract traffic recently, through hyping meme coins like TST and CZ's pet dog Broccoli, which has also diverted some attention from Solana to the Binance Chain.
As the FUD around Solana's ecosystem grows louder, not only has Zhu Su stated that it's now time to go all-in on Ethereum, but even some community members who previously FUDed Ethereum have recently changed their attitude, saying that Vitalik's persistence is right and that Ethereum is more decentralized and more suitable as a long-term construction and investment base than Solana.
Ethereum once approached $2,850
Possibly influenced by this, Ethereum rose against the backdrop of Bitcoin's decline last night, reaching $2,849 at one point, but selling pressure then emerged, and as of the time of writing, it is temporarily reported at $2,727. Whether it will confirm the start of a counterattack remains to be seen.
