In recent years, the blockchain wars have been heating up. There are now several promising alternatives to the dominant choices of Bitcoin and Ethereum. One such option is Solana. From its sharp rise in popularity to a steep fall late last year, the token has undergone several shifts in price. However, many users may be uncertain about how the price of the token will change in the future. What are the Solana price predictions over the next few years?
What is Solana?: A Fundamental Overview
Created in 2020, Solana is a blockchain platform designed for scalability and performance. This innovative project has been built from the ground up to provide fast, secure and efficient transaction processing, making it ideal for decentralized applications (dApps) and crypto.
At its core, Solana is a decentralised, public network that’s designed to support the deployment and operation of a wide range of dApps. With its novel consensus algorithm – called “Proof of History” – Solana can process up to 65,000 transactions per second, making it one of the fastest blockchain platforms available today.
The native token of the platform is called SOL. This crypto is used to incentivize network participants through staking and to pay transaction fees, helping to ensure the long-term sustainability and security of the network.
How Much Is A Solana Worth?
Solana entered Feb 2022 at $102 per token. It continued to trade in a band of $79 to $110 until the beginning of April when it experienced a sudden rise to almost $137. This rise was short-lived, however, as the token was back to $98 by the end of the month.
May brought with it Solana’s steepest decline yet. The token fell rapidly until June when it hit a low of almost $29. SOL maintained this price level for 4 months, trading in a narrow band of $28 to $46.
Finally, Solana was greatly impacted by FTX’s bankruptcy in November. Over the next two months, SOL fell from $36 to under $10.
However, the coin experienced a reversal at the beginning of 2023, with a slow and steady rise to $25 at the beginning of February.
Solana (SOL) Technical Indicators
|Circulating Supply||378 Million|
|24-hour Volume(Subject to dynamic change)||$933,364,500|
|Current Price (As of 22nd Feb 2023)||$24.16|
|50 Day SMA||$ 21.82|
|100 Day SMA||$ 17.28|
|200 Day SMA||$ 21.35|
|14-day Relative Strength Index||62.91|
|Fear and Greed Index||59 (Greed)|
Solana Price Prediction 2023
|Year||Optimistic Low( End of Q2)||Optimistic High( End of Q2)||Optimistic Low( End of 2023)||Optimistic High( End of 2023)|
This year is expected to bring economic recovery worldwide. After several high-profile bankruptcies in the crypto industry in 2022, the market is expected to begin its recovery through 2023. Observing the current price trends, analysts believe Solana can reach a price of $33 by the end of the second quarter.
While you may see some returns by the middle of the year, the bulk of recovery is expected to start from the third quarter. With more funds in the hands of investors and more confidence in the crypto market, SOL’s price may even reach a high of $45 by the end of the year.
Solana Crypto Price Prediction 2024
|Year||Optimistic Low||Optimistic High|
2024 is expected to continue the trends of 2023. Additionally, it is expected that investment in the crypto industry will also be boosted, leading to high user attention and feature development. All these factors are what lead experts to believe that Solana can hit $60 by the end of 2024.
Solana Price Prediction 2025
|Year||Optimistic Low||Optimistic High|
Today, Solana is usually considered a contender to Ethereum. But by 2025 it is possible that the project can establish itself as a dominant force in the crypto market. Additionally, analysts believe that 2025 will be the peak of the current crypto cycle, with many tokens hitting new highs.
As Solana develops the platform more and carves its own space in the crypto market, experts predict its price can reach all the way to $90 by the end of 2025.
Solana (SOL) Price Prediction At A Glance
Is Solana A Good Investment?
Solana has been considered by many to be an “Ethereum Killer”. It has garnered a lot of attention from investors and users alike. This makes it a very compelling investment option in a crowded crypto market.
Additionally, it sets itself apart from Ethereum thanks to its insistence on using a monolithic network structure. Solana does not require any sharding, layer 2 scaling solutions or sidechains to service demand, which makes the network safer and reduces the points of failure.
Read more: Ethereum Price Prediction
However, one major issue that continues to plague the project is frequent network outages. These outages have been known to halt all transactions or considerably slow them down for users.
Should I Invest In SOL?
Solana is a great investment opportunity for many users, especially those looking for alternatives to Ethereum. However, its network outages deter many users from considering it as an option.
If you do not mind outages as the network develops and improves itself, SOL is a great investment for you. Having said that, it is important to note that investors should do their thorough due diligence before deciding to invest. This blog should not be taken as an investmen recommendation.
Read more: Matic Price Prediction
You can now trade Solana on ZebPay Australia.