Solana (SOL 2.97%) has minted a lot of millionaires since its launch in 2020. The cryptocurrency started trading at $0.95 and hit its all-time high of $260.06 on Nov. 6, 2021 -- which would have turned a $10,000 investment into $2.74 million.
Solana was widely seen as an alternative to Ethereum (ETH 3.06%) for the development of decentralized apps. Solana's blockchain was faster, more scalable, and had lower transaction costs than Ethereum. It accomplished that by using its unique proof-of-history (PoH) mechanism to accelerate the proof-of-stake (PoS) mining method used by Ethereum.
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However, a series of network congestion and security failures caused Solana to lose its luster, and rising rates subsequently crushed the cryptocurrency market. To make matters worse, failed crypto exchange FTX hastily liquidated its Solana tokens in several huge auctions to raise more cash to pay off its creditors. As a result, Solana's price dipped below $10 by the end of 2022.
Yet Solana bounced back, reaching $163; your original $10,000 investment would still be worth $1.72 million. It was tough for investors to stick with Solana through those wild swings, but it's now the world's fifth largest cryptocurrency with a market cap of $71 billion. Could it keep growing and turn a fresh $10,000 investment to $1 million again?
What's next for Solana?
Solana's powerful recovery suggests it will remain a formidable rival for Ethereum as a platform for the development of decentralized apps and tokens. Its network has already been used to produce a wide range of meme coins, including notable ones like BONK (BONK 3.11%) and WIF (WIF 3.44%), as well as decentralized exchanges like Jupiter and Orca. The expansion of that ecosystem could make it a fertile environment for more crypto projects.
New decentralized wallets and financial apps could also help Solana (and Ethereum) disrupt traditional financial institutions. The introduction of Solana Pay, which was integrated into Shopifylast year, marked a major step in that direction. Visaalso started to run its stablecoin settlement program on Solana, while Circle recently added native Solana support for its EURC stablecoin.
Solana Labs' subsidiary, Solana Mobile, even launched its own Saga smartphone last December. The Android device is still a niche gadget, but it targets Web3 enthusiasts with its integrated digital asset management and Solana blockchain tools.
Solana's rapid expansion is impressive, but Ethereum is scrambling to match Solana's speed and scalability with its own network upgrades. In a recent essay, Ethereum's co-founder and chief architect, Vitalik Buterin, proposed the introduction of "multidimensional gas fees" which sound similar to Solana's variable project-by-project user fees across its "local fee markets." If Ethereum closes that gap, it could throttle the long-term growth of Solana's blockchain ecosystem.
How much higher can Solana soar?
Solana seems to have overcome its initial growing pains. It resolved the congestion issues caused by the market's feverish interest in non-fungible tokens (NFTs) in 2021, survived FTX's large liquidations, and still processes transactions faster than Ethereum. Developers are still launching new apps on Solana and promoting their new tokens with airdrops.
However, it's tough to tell how much larger Solana's blockchain can grow as long as it's overshadowed by Ethereum's larger network. For now, CoinPedia estimates that Solana's price could hit $500 by the end of the year and $1,672 by 2030.
You should take those estimates with a grain of salt, but they imply that Solana will remain one of the world's top cryptocurrencies as it attracts more developers and becomes more widely adopted for mainstream payments. But even if Solana's price hits $1,672 by 2030, it would only turn a new $10,000 investment into about $100,000.
Therefore, Solana might still have a lot of upside potential -- but it probably won't make you a millionaire by the end of the decade. It could also easily be cut in half before it generates bigger gains, so investors should brace for a lot of volatility.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Ethereum, Shopify, Solana, and Visa. The Motley Fool has a disclosure policy.
FAQs
But even if Solana's price hits $1,672 by 2030, it would only turn a new $10,000 investment into about $100,000. Therefore, Solana might still have a lot of upside potential -- but it probably won't make you a millionaire by the end of the decade.
Will Solana make millionaires? ›
Becoming a millionaire in the world of cryptocurrencies requires a mix of patience, strategy, and willingness to take risks. With a combination of established assets like Solana (SOL) and the rising star Mpeppe (MPEPE), investors can position themselves to achieve life-changing gains.
What if I invested $1,000 in Solana? ›
If you purchased $1,000 worth of SOL at $12 per token, you would have received 76.9 SOL. At today's price of $136 per SOL, 76.9 SOL is worth over $10,000. That represents an increase of over 1000% in less than two years. What lessons can we take from this and apply to other crypto investments?
Can Solana reach $5,000 dollars? ›
He speculated that Solana could achieve a market cap of $1.1 trillion with a price of $2,399 per SOL, marking a 17.7x increase. In an even more optimistic scenario, he points out, Solana could reach $5,100 per SOL, resulting in a market cap of $2.3 trillion—a 37.6x increase from its current position.
Will Solana hit $500 dollars? ›
If bullish trends and network growth continue, SOL could reach $500 by the end of the year 2024. However, if market sentiment does not improve, it may settle at $90. Historical data shows resilience; SOL price is up 33,446.56% from its all-time low.
How high can Solana realistically go? ›
SOL price targets in 2025 exceed $300, the most bullish targets are in the $500 to $1,000 area. Realistically, Solana can go as high as $650 in 2025.
How much will 1 Solana be worth in 2030? ›
Solana Price Prediction Table
| Year | Average Price* | Percent Increase |
|---|
| 2027 | $344.79 | 73.44% |
| 2028 | $509.28 | 47.71% |
| 2029 | $753.13 | 47.88% |
| 2030 | $1,115.02 | -99.87% |
8 more rowsThe primary reason to invest in Solana right now is that it could eventually become the next Ethereum (ETH -3.49%). Solana is a direct challenger to Ethereum in the Layer 1 blockchain space, and has been steadily gaining ground in every major niche, from decentralized finance (DeFi) to non-fungible tokens (NFTs).
How much is 10000 USD in Solana? ›
About Solana
| USD | SOL |
|---|
| 1,000 USD | 7.213694 SOL |
| 5,000 USD | 36.068471 SOL |
| 10,000 USD | 72.136942 SOL |
| 50,000 USD | 360.684713 SOL |
7 more rowsSolana (SOL) has the potential move to $1,000 by 2030. In fact, our research points out that SOL may move to $1,000 well before 2030, arguably in the timeframe late 2025 to mid-2026. There are multiple compelling reasons why SOL may hit $1,000 in the not too distant future.
Let's begin.
- Pepe Unchained – Next 1000x Crypto Built on the Layer-Two Ethereum Blockchain. ...
- Memebet Token – 1000X Crypto Platform Powered by the $MEMEBET Token. ...
- Crypto All-Stars – Next Big Meme Coin Ecosystem with High Staking APY. ...
- Flockerz – Meme Coin Introducing a Vote-to-Earn DAO.
While the future looks promising for Solana, it is essential to consider the challenges and risks that could impede its path to $10,000 dollars. One potential issue is scalability, as the rapid growth of the network could lead to congestion and slower transaction speeds.
Can Ethereum reach $100,000? ›
While Ethereum can hit $100,000 after 2030, it is not realistic to expect ETH to reach 100k before 2030. It's nearly impossible. There is no path for Ethereum to hit 100k before 2030, it's impossible. ETH can realistically hit $10,000 in the coming years, either in 2025 or in 2026.
Is Solana better than Ethereum? ›
While both projects offer similar functionality, Solana is faster and cheaper, thanks to the underlying technology. Solana can process speeds of up to 29,000 transactions per second, while Ethereum can still only manage a maximum of around 45 transactions per second, even following several key upgrades.
How much will Solana be worth in 2040? ›
Instead, they have published figures speculating that the price of Solana in 2040 will sit in a range between $821 and $963. CoinJournal has retained a positive outlook for Solana through the 2030s and into 2040, where they anticipate a potential average price of $1,760 per unit.
Can Ethereum reach 50K? ›
Can Ethereum reach 50K? The short answer is, Yes. Ethereum is the leader of Decentralized Finance (DeFi). As more protocols attach to its platform soon, which has a great user base reflected in massive trade volume numbers, the crypto asset price will increase tremendously in the process.
How much can you make from Solana? ›
The current estimated reward rate of Solana is 5.17%. This means that, on average, stakers of Solana are earning about 5.17% if they hold an asset for 365 days. The reward rate has not changed over the last 24 hours. 30 days ago, the reward rate for Solana was 5.25%.
Which cryptocurrency will reach $10,000? ›
Prediction: Ethereum Will Reach $10,000 in 2030 | Nasdaq.
Will Solana reach $300? ›
SOL price forecast. Solana is one of the most promising altcoins in the high-cap category. However, anything more than a two-digit ROI is a wildly ambitious target for SOL. If the broader market recovers as predicted, the best that SOL can target is $260 while $300 is an even more ambitious target.
