Better Crypto Buy: Ethereum vs. Solana

Solana's blockchain ecosystem has generated nearly $3 billion in revenue over the past 12 months.

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Over the past decade, Ethereum (CRYPTO: ETH) has been one of the world's best-performing cryptocurrencies. During this time, its price has increased by 120,000%.

But now, a growing number of highly-regarded competitors are challenging Ethereum, and one of the best is Solana (CRYPTO: SOL). So, which is the better investment right now: the established competitor (Ethereum) or the new rival (Solana)?

Historical Performance

Based on past performance, Ethereum appears to have an edge over Solana. Its track record over the past five years is particularly impressive. In 2020, Ethereum increased by 472%, and in 2021, it increased by an equally impressive 395%. In 2023, Ethereum's value increased by 93%, and in 2024, it saw a spectacular return of 46%.

The only down year for Ethereum was 2022, when it lost 68% of its value. If you abandoned Ethereum during the crypto winter of 2022, you likely lost everything. But if you held onto your position, you could still make a substantial profit.

Solana has been far more volatile than Ethereum. After its launch in 2020, Solana's value nearly doubled. 2021 was even more impressive, when it was one of the world's top crypto performers, with its price increasing by over 11,000%. However, in 2022, Solana lost over 94% of its value. Many people abandoned it altogether.

Although Solana rebounded with impressive returns of 919% in 2023 and 86% in 2024, it is no longer the great investment it once was. In 2025, Solana is still down around 20%.

Institutional Support

Here too, Ethereum appears to have a clear advantage. Due to its market dominance in decentralized finance (DeFi), it has become Wall Street's favorite blockchain. And new crypto legislation in the US could make Ethereum even more influential. This is because Ethereum leads when it comes to stablecoins, which have emerged as one of the fastest-growing categories in the crypto market.

Although Solana is showing signs of overtaking Ethereum's market-leading role in DeFi, it is nowhere close to challenging Ethereum. For example, Ethereum accounts for 63% of the total locked value (TVL), a key measure of DeFi's strength. Solana is in second place with only 8% market share.