Unlocking Solana’s Sky-High Potential: VanEck Research Sets Ambitious Price Target for SOL’s Soaring Future

The crypto community may have reasons to look on the bright side as it concerns Ethereum (ETH) rival Solana (SOL).

According to a VanEck research that was published a few days ago, SOL price has the potential to skyrocket but only if certain conditions are met. The research and resulting prediction were made concerning ETH, however, Matthew Sigel, the head of VanEck’s digital asset research extended the positivity to Solana.

Based on the VanEck forecast, Ether could reach $51,000 by 2030 in the case of a bull run but on the condition that it is widely embraced by different business sectors

The estimate was made on the assumption that ETH becomes the most dominant open-source global settlement network. In this position, Ethereum gets to host a sizable portion of the commercial activities of numerous business sectors and will. Therefore, have the highest chance of gaining from moving their business functions to public blockchains.

The plan also includes owning a collection of call options in the case of a portfolio of similar smart contract platforms. In the end, the dominant platform is more likely to take a majority market share

On the other hand, if ETH does not attain the position of top dominance or smart contract platform with only 15 percent dominance, this would translate to a bear market and leave the price of the altcoin at a low of $343.29 in the next seven years. VanEck also noted that if things go well for ETH, it could have a base case price target of $11,848.62.

Solana Bull Run Comes With a Higher Risk Profile

In his interview with Bankless, Sigel confidently set SOL on a bullish pedestal; he, however, emphasized that it would have a higher risk profile compared to ETH

In terms of upside, once you layer in our top two assumptions of the penetration rate, and then if you assume that Solana takes 70% of all of open-source blockchain activity, the upside becomes much higher, but with a much higher level of risk as well,

The VanEck head of digital asset research also made reference to SOL’s MEV (miner extracted value) as a factor in the bull or bear run

It was observed that SOL’s MEV is a much higher percentage of the revenue line, leading to issues of centralization. Ultimately, this casts opacity on the chain as only a few active participants will be beneficiaries extracting value. This leads to several uncertainties and doubts and eventually affects the potential of the token.

Dogecoin co-founder Billy Markus, alias Shibetoshi Nakamoto recently criticized the SOL eco calling it a “centralized database that does not address the problem.”

At the same time, Solana announced that it is working on creating a plugin for ChatGPT to provide users with conversational interactions with the blockchain.