VanEck: Solana could rise to $ 520 this year

In 2024, Solana SOL $109.31 Binance-Peg SOL 9.67% Market capitalization $0.12 billion VOL. 24 hours $1.19 billion became one of the most popular blockchain networks due to the hype around meme coins and active use in decentralized finance (DeFi). Some experts believe that its native SOL token may even surpass Ethereum in terms of capitalization, and investment company VanEck predicts its growth to $ 520 in 2025. However, how realistic is this scenario?

Solana was able to overtake Ethereum ETH $1,576.79 Bridged Ether (StarkGate) 5.67% Market capitalization $0.14 billion VOL. 24 hours $2.85 billion in terms of trading volumes on decentralized exchanges (DEX), which confirms the high demand for its ecosystem. Nevertheless, technological superiority is now playing a lesser role than liquidity and ease of use. In addition, the network still faces congestion during peak times, which even Binance founder Чанпен Чжао" href="https://noworries.news/biography/chanpen-chzhao/" data-bio-id="3681">Changpeng Zhao has admitted.

The token unlocking and inflation rate have a significant impact on the SOL rate. By the end of 2025, the supply of SOL could grow to 526 million tokens, with an annual inflation rate of 4.7%. This resembles the situation with Ethereum before the transition to the Proof-of-Stake mechanism, when the high issue of tokens affected the dynamics of their price.

Analysts emphasize that the mere fact of liquidity inflow is not a guarantee of an asset’s value growth. Usually, the capitalization of stablecoins in blockchains grows after their native tokens show a rapid rise in price. This means that money enters the network not before the price increase, but when investors are taking profits.

If VanEck’s forecast comes true, Solana will become one of the leading smart contract platforms, and its capitalization may exceed $ 252 billion. However, the future of SOL largely depends on macroeconomic factors and the overall situation on the crypto market.