Leading investment firm VanEck has made a bold forecast predicting Solana's price to reach $520 due to the growing smart contract platforms market and M2 money supply increase.
VanEck Predictions for Solana
Investment firm VanEck believes that Solana's price will reach $520 by the end of 2025. This is powered by the growing smart contract platforms (SCP) market and an increase in M2 money supply. VanEck projects that M2 money supply will surge to $22.3 trillion in 2025 from the current $21.5 trillion. Increased money supply and lowered interest rates typically lead to more investments in riskier assets like cryptocurrency. Additionally, VanEck predicts Solana's market share in the SCP market will grow from 15% to 22% by the end of 2025.
Will Solana Break Below the 200 EMA Curve?
At press time, Solana's price is trading at $192.99 with an intraday growth of 1.74%. Its market capitalization stands at $93.96 billion with a 24-hour trading volume of 4.11 billion. The daily technical chart shows SOL price hovering below the 50-day exponential moving average and taking support from the 200-day EMA level. A break below this level could mean lower levels ahead. The support is at $175.53 and resistance is at $215.80. The RSI indicator is in the bearish zone with a reading of 38.82, indicating a lesser growth potential.
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VanEck's projections suggest significant growth for Solana's price in the coming years, heavily dependent on increased money supply and the growth of the smart contract platforms market. Investors should monitor technical signals and the potential for regulation.
