Solana has solidified its position as a top 10 cryptocurrency. It has been witnessing growth exceeding 200% since the beginning of 2023. The total value locked in the Solana ecosystem has reached an impressive $378 million.
Recently, Solana’s native SOL surged above the $32 mark. It prompted asset management company VanEck to forecast substantial price gains. VanEck’s unveiled diverse valuation scenarios, ranging from a conservative $9.81 to an ambitious $3,211.28 by 2030 in its report. The report has set the stage for a potential 10,600% price surge for Solana. This bullish call is a testimony to Solana’s challenge to Ethereum, whose target price stands at $11,800.
The report envisioned that Solana will become the pioneering blockchain capable of accommodating over 100 million users. VanEck’s involvement extends beyond this report, having previously submitted Bitcoin exchange-traded fund applications to the United States Securities and Exchange Commission.
Will Solana go down?
However, there are hints of a potential price downturn on the horizon. The daily directional movement index (DMI) is signaling an increasing hold by bears. It should urge a robust response from the bulls to secure the gains made. Currently, the crypto market is aligninh with Bitcoin’s recent ascent to $35,000.
The possibility of a drop below the $30 mark looms if the bulls fail to regain control. Traders on short positions for SOL may find selling an attractive option.
The blue line (+DI) decreasing and the red line (-DI) increasing in the chart below underscore the potential for a price decline. It indicates heightened bearish sentiment, which could lead to a 15% decrease in Solana’s price from its current valuation of $32. It will then find support near the 21-day exponential moving average.
Solana’s web3 endeavours
Solana Labs unveiled its brand-new incubator program on October 26. It aims to support web3 startup companies operating on the Solana blockchain.
The program will accept applications from web3 companies from November 30, 2023. They aim to offer comprehensive support throughout their fundraising, development, launch and marketing phases. Solana not only wants to cement its place crypto market but also in supporting the next-gen blockchain innovators
Solana’s future looks promising with its meteoric rise, VanEck’s report, and the launch of the web3 incubator program. Investors and the crypto community are keeping a close eye on this blockchain powerhouse, as it seeks to challenge the giants in the field.