Solana News Today: Solana Breaks Ethereum's Crypto Dominance with Speed and DAT Surge

RootData's latest analysis highlights a significant shift in cryptocurrency financing dynamics, with Solana (SOL) outperforming Ethereum (ETH) in late Q3 2025. According to the report, institutional capital flows, growing adoption of digital asset treasuries (DATs), and Solana's on-chain upgrades drove SOL's 4.06% price gain in September, contrasting with ETH's 5.68% decline. This performance gap marks the first instance of Solana surpassing Ethereum since April, signaling a potential realignment in market leadershipSolana gains, Ethereum dips: What September tells us about Q4 trends^[1].

The report attributes Solana's strength to rapid DAT adoption, which saw 233% growth in treasury holdings during the month, pushing total SOL treasury allocations to 2.5% of supply. Institutions such as Forward Industries and Helius added $1.5 billion and $500 million in SOL, respectively, intensifying demandSolana gains, Ethereum dips: What September tells us about Q4 trends^[1]. Meanwhile, Ethereum's DATs grew by 35%, but Solana's accumulation rate was six times higher. Despite Ethereum's smaller supply (120.7 million vs. Solana's 542 million), the report notes that tokenomic advantages may delay Solana's price volatility, though on-chain activity is closing the gapSolana gains, Ethereum dips: What September tells us about Q4 trends^[1].

On-chain upgrades further bolstered Solana's momentum. The Alpenglow upgrade, which reduced block finality from 12 seconds to 150 milliseconds, and the upcoming Firedancer upgrade-eliminating compute unit limits-positioned the network for scalability gains. These improvements coincided with a 40% surge in Solana's real-world asset (RWA) sector over 30 days, outpacing Ethereum's 13% growth. Analysts suggest these upgrades are attracting institutional flows, with 60% of tokenized stocks now on SolanaSolana gains, Ethereum dips: What September tells us about Q4 trends^[1].

Ethereum's roadmap, including the December 2025 Fusaka upgrade aimed at enhancing Layer-2 scalability, remains a counterweight. However, the report warns that Solana's 2026 Alpenglow upgrade could disrupt Ethereum's dominance, particularly as capital rotates into Solana-based assets. The SOL/ETH ratio closed September at 10.6%, with institutional flows favoring Solana's infrastructure and execution speedSolana gains, Ethereum dips: What September tells us about Q4 trends^[1].

Looking ahead, the report forecasts continued Solana outperformance in Q4, contingent on sustained institutional adoption and on-chain adoption. A breakout above the 0.055 SOL/ETH threshold could retest Q2 highs, while Ethereum's reliance on stablecoin infrastructure and regulatory clarity may temper its gains. Analysts caution that macroeconomic factors, including the Federal Reserve's October 2025 policy meeting, could introduce volatility, though Solana's technical momentum appears resilientSolana gains, Ethereum dips: What September tells us about Q4 trends^[1].