Solana’s Soaring SOL Token, Price Forecast

Solana’s native SOL token surpassed $32 this week as asset management firm VanEck anticipates further price gains and reveals its price forecast. Solana is a Layer-1 blockchain and Ethereum competitor.

In a report, VanEck outlined various valuation scenarios for Solana’s price by 2030, ranging from $9.81 to $3,211.28 (in contrast, Ethereum’s target price is $11,800).

This would result in a 10,600% pricing increase for Solana over the next few years. The report also explores the possibility of Solana becoming the first blockchain to support applications with more than 100 million users.

In addition, the report illustrates Solana’s future potential to close the gap between itself and Ethereum.

VanEck has been active in the cryptocurrency industry for some time, submitting applications for Bitcoin exchange-traded funds to the United States Securities and Exchange Commission in recent years.

Screenshot of Solana price performance. Source: TradingView

Since the beginning of 2023, SOL’s growth has exceeded 200%, propelling it into the top 10 cryptocurrencies. The ecosystem of Solana has a total value of $378 million.

However, the price of SOL may be susceptible to a potential pullback.

The daily directional movement index (DMI) indicates an increasing hold by bears on the daily chart, necessitating aggressive action from the bulls to protect the gains accumulated since the crypto market aligned with Bitcoin’s recent rise to $35,000.

If the bulls are unable to obtain the upper hand, the price could fall below $30. Traders contemplating short positions in SOL may wish to sell.

Technical indicators, in which the blue line (+DI) is dwindling and the red line (-DI) is rising, suggest a potential price decline.

This pattern indicates an intensified bearish influence and the possibility of a market decline, which could result in a 15% decrease in Solana’s price from its current $32 valuation.

This corresponds to a local support level supported by the exponential moving average of the last 21 days.