Researchers at VanEck evaluated the potential for Solana's price to rise to $520 by the end of 2025. This increase represents approximately a 171% value surge according to their calculations.
Solana Predictions
Researchers Matthew Sigel and Patrick Bush noted an upward trend in Solana’s market share within smart contract platforms, which could positively impact its price. The forecasting models highlight increases in Solana’s market value and trading volume. Following the recent all-time high tests, the $520 target has become increasingly plausible.
Impact of M2 Money Supply
Experts indicated a correlation between the growth of M2 money supply and the overall value of the cryptocurrency market. M2 measures cash, checking accounts, and short-term deposits, and analysts predict this figure will reach $22.3 trillion by the end of 2025. This development could also contribute to the expansion of the smart contract platform market.
Research Significance for Cryptocurrency Market
The research suggests that the smart contract platform market is expected to surpass its previous peak of $989 billion reached in 2021, setting a new record by the end of 2025. This situation indicates the potential for increased interest in cryptocurrency assets due to market size and liquidity growth. Solana’s growing market share, preference among developers, and positive trends in active user numbers support optimistic predictions for the future. The developments anticipated by the models will be crucial data in investors’ decision-making processes. The analysis results were carefully constructed, considering the correlations between market dynamics and money supply. The calculations provide forecasts for Solana’s future value increase, aligned with the overall growth trends in the cryptocurrency market.
VanEck analysts' predictions indicate the potential for significant growth in Solana's value by 2025, considering current trends in the smart contract platform market and the influence of M2 money supply. The study's data will be important for investors' decision-making in the evolving cryptocurrency market.
