Shenzhen TechFlow News, July 16th, according to CoinDesk, Morgan Stanley Global Investment Office Managing Director Denny Galindo wrote an analysis that as the crypto market expands, although Solana has higher volatility than Bitcoin, it has historically provided better portfolio diversification than Ethereum.
Data shows that since early 2026, ETH and SOL have had about 35% and 44% higher volatility than Bitcoin respectively; over the past four years, the correlation between Bitcoin and ETH is 0.78, and with SOL it is 0.72. SOL’s correlation with the S&P 500 index is also slightly lower than Bitcoin and ETH. If historical correlations are indicative, SOL may serve as a superior diversification choice for portfolio allocation.
