Can Solana Reach $100: How Could SOL 4x in Value

Solana (SOL) has positioned itself as a highly popular versatile cryptocurrency.

Not only do the company behind Solana have a good solid whitepaper and roadmap as a foundation, it’s also the second most popular cryptocurrency with which to buy NFTs.

This has undoubtedly led to its catapult in to the top 10 cryptocurrencies of the past year.

There are a total of 358 million Solana coins in circulation, and with a market capital of $11 billion, it is a formidable and sizeable opponent to most cryptocurrencies.

For Solana to reach $100 it will need to increase in value by 400%, or 4 times.

This may sound a huge increase, but Shibu Inu increased its size by 142,000% – although of course Shibu Inu started with a tiny market capital before its monumental climb making several fortunate Solana holders millionaires in an incredibly short amount of time.

Things have changes in the cryptocurrency space.

No longer will we find cryptocurrencies surging to 10,000% increases – although don’t ever rule this out – but are smaller 400% gains realistic?

The market capital of a cryptocurrency, in comparison to others, is one of the best indicators as to whether its value can increase in multiples.

Based on this analysis so far, it is possible that Solana can reach $100 – but let’s have a look to see how Solana could get there, and what would need to be involved.

Market Capital of Solana

The market capital of a cryptocurrency can easily be worked out by multiplying the current value of the coin by the number of coins in circulation.

This allows cryptocurrency investors to compare the strength of each coin against another in terms of investment added, and current net worth.

The calculation can be shown in an easy-to-read manner, as shown below:

Market Value = Number of tokens in circulation * Trading Price

There are many stats and numbers when looking at financial charts of any cryptocurrency, but the market capital is the best to understand and read – especially to understand whether the current coin price can reach $100.

A comparable high market capital, with low coin price, would suggest difficulty in achieving $100.

Whereas a low market capital, with high coin price, could suggest an easier path to $100.

The cryptocurrency needs to have a solid USP (unique selling proposition), solid foundations and a good reason to invest to grow at all.

Let’s look at this using an example.

A cryptocurrency, Coin A, with 3,000,000 circulating coins may have a trade value of $8 a coin, giving this cryptocurrency a market share of $24,000,000.

Another cryptocurrency, Coin B, with 5 billion circulating coins may have a trade value of $0.50 a coin, giving this cryptocurrency a market share of $2,500,000,000.

Although Coin B has a current price of only $0.50 compared to Coin A of $8, it is Coin A cryptocurrency that is worth considerably less.

Over 100 times less in fact.

Coin A would need to increase its market capital to $300 million to reach $100 a coin, whereas Coin B would need to increase its market capital to a staggering $500 billion to achieve the same goal!

It doesn’t necessarily mean Coin A could reach $100 if the demand is not there but considering so many cryptocurrencies have exceeded a market capital of $300 million – it means it’s possible.

In the case of Coin B, not even the most valuable cryptocurrency – Bitcoin – have a $500 billion market capital.

So, unless there was a major shift to Coin B, it’s chances of reaching $100 a coin is very small.

In Solana’s case, it would need to increase its market capital from $11 billion to $44 billion to achieve a $100 coin value.

Solana’s $11 billion market capital is huge, but it’s dwarfed by others such as Bitcoin ($396 billion), Ethereum ($194 billion), BNB ($50 billion) and XRP ($23 billion) – so it certainly still has potential to grow.

Why Market Capital is Important

So far, you’ve read a lot about market capital, but why exactly is market capital so important.

Market capital allows an investor to see how big and popular a business, or cryptocurrency in this case, really is.

Let’s say we found a cryptocurrency with a value of $1,000 a coin. It may look very impressive until you see it has a $5,000 market capital, meaning not very popular.

On the other hand, a cryptocurrency with a value of $10 a coin and a market capital of $10 billion means many other people have invested and the cryptocurrency is popular – unless of course yesterday the cryptocurrency had a market capital of $100 billion and it’s crashing!

Researching a coin’s price and market capital over a longer period is essential before deciding whether to buy in.

A cryptocurrency with a $10 billion or more valuation is enough in today’s markets to be within the top 10 of all cryptocurrencies from the thousands in existence.

By understanding the market capital against other cryptocurrencies. it helps to gain some perspective as to whether future growth is possible to the level desired.

How Could Solana Increase its Market Capital

How can Solana increase in value

For Solana to reach $100, and increase its market capital by 400%, there will need to a catalyst.

Most cryptocurrencies investors that many made their fortunes in 2020 and 2021 were from new coins that went viral in the eyes of the blockchain space.

Either through speculation, hype, great marketing or even Elon Musk tweets!

He bought a Shibu dog, posted a cryptic post on Twitter and bam the value of Shibu Inu skyrocketed.

It really felt like the wild west and the days of the Klondike gold rush!

This was before cryptocurrencies were an ‘in thing’, and money hadn’t began pouring in. Those who got in early capitalized.

It is considered that many people who plan to invest into cryptocurrency already have.

Therefore, for Solana to 4x in value and reach $100 a coin, one or more of the following things need to happen:

  • A shift of demand from one popular cryptocurrency to Solana
  • A reignition in demand of Solana NFTs, meaning more people buy Solana
  • Solana being used in an indirect way for trade purposes

It is said that for the ownership of cryptocurrencies to become more widespread, the onboarding needs to be easier, faster, and safer.

Today a digital wallet is required, as well as knowledge of the right services to buy cryptocurrency such as Solana.

Once the owner has Solana in their wallet, they also need to know how to make a purchase, and how to avoid the many scams that exist in the Web3 world.

This isn’t easy for even seasoned veterans in the space, let alone those new to the market.

Therefore, the way Solana could 4x in value and reach $100 a coin would be by way of a partnership with a huge brand to be the exclusive cryptocurrency to trade or purchase.

This could see new crypto investors enter the market which would increase the Solana price. This would also cause those holding other cryptocurrencies, that are not increasing, to sell and invest in Solana

Reaching $100 a coin, and a market capital of $44 billion, could be an achievable goal.

Solana Market Capital vs Other Cryptocurrencies

Here is a table showing how the Solana (SOL) cryptocurrency compares to other top coins such as Bitcoin, Ethereum, Solana Dogecoin, Shibu Inu, Polygon MATIC and The Sandbox:

CryptocurrencyMarket Capital
Bitcoin$396 billion
Ethereum$194 billion
Solana$11 billion
Dogecoin$8.4 billion
Shibu Inu$6 billion
Decentraland$1.65 billion
The Sandbox$1.6 billion

If Solana did reach a $44 billion market cap, and rose to $100 a coin, it would become the 5th most popular cryptocurrency on the market.

Could Solana Reach $100

Solana has already established its dominance in the cryptocurrency industry.

It is known, trusted, has a wide variety of uses as well as being a popular cryptocurrency for purchasing NFTs, particularly in the play to earn (P2E) gaming space.

Once the bear market settles down, and the bull market returns we could see an insurgence of trust and the return of the more speculative investments in to the Web3 space.

If Solana manages an exclusive partnership with a huge brand, or the P2E gaming NFTs really take off mass-market- perhaps through a gaming console – then there is no reason why in the future Solana couldn’t reach the $100 a coin mark.

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