February 3, 2026
Finance

Solana Faces Near-Term Pressure but Shows Strong Long-Term Growth Potential

Standard Chartered revises short-term price target downward while projecting significant gains through 2030 driven by emerging use cases

Summary

Solana’s cryptocurrency token (SOL) recently experienced a sharp decline, trading below $100 amid short-term challenges. Despite this, Standard Chartered has adjusted its long-term price outlook upward, citing the network’s evolving role in stablecoin micropayments and transaction velocity advantages over alternatives like Ethereum. The bank forecasts a gradual price increase through 2030, as Solana’s infrastructure supports growing demand in AI-driven micropayments and stablecoin transfers.

Key Points

Standard Chartered lowers Solana's 2026 price target to $250 following a recent price drop below $100.
The bank updates its long-term outlook with targets rising to $2,000 by 2030 based on growth in micropayments and stablecoin use.
Solana's faster transaction speeds and lower fees contribute to higher stablecoin turnover compared to Ethereum, indicating increased transactional use.
Despite long-term optimism, Solana is predicted to underperform Ethereum through 2027 due to longer scaling timelines.

Solana’s native token, SOL, has seen a recent pullback in value, with prices dropping below the $100 threshold. This downward shift reflects short-term market challenges and ongoing volatility within the cryptocurrency sector. However, despite the near-term struggles, Standard Chartered has released updated forecasts that indicate a more positive trajectory for SOL over the longer term.

In its updated analysis, the financial institution lowered its price target for Solana in 2026 to $250, a revision down from the previous $310 estimate. This adjustment aligns with the token's recent performance, where SOL traded near $97 amid a pronounced downward movement. While the short-term outlook suggests subdued price action, the bank simultaneously raised expectations for SOL's growth in subsequent years, forecasting significant price appreciation beyond 2026.

Standard Chartered outlined a progressive target framework for SOL’s valuation extending through 2030. The projections chart a course from $400 by the end of 2027 to $700 in 2028, $1,200 in 2029, culminating in a significant jump to $2,000 by 2030. This long-term optimism is primarily anchored in Solana’s technological strengths, including its transaction speed and notably low fees, which distinctly position the network as a competitive platform for emerging applications.

The bank’s bullish stance centers on Solana’s growing role in facilitating micropayments driven by artificial intelligence and handling stablecoin transfers. In particular, it highlighted that stablecoins on the Solana network currently exhibit turnover rates that are two to three times higher than those on Ethereum. This elevated transactional velocity suggests a shift toward more practical, use-case driven activity rather than speculative trading, signaling maturation in Solana’s ecosystem.

Despite these promising indicators, Standard Chartered cautions that Solana's short- to medium-term performance may lag behind competitors like Ethereum. The analysis attributes this expected underperformance through 2027 to the additional time Solana will require to fully scale its core applications and broaden adoption beyond its current user base.

The report also sheds light on the composition of Solana’s transaction fees, noting that approximately 47% of the on-chain fees projected for 2025 will emanate from decentralized exchanges dominated by meme coins. Although this fraction has declined from previous peaks—most notably the surge tied to Trump-themed meme coins—the prevalence of such speculative tokens continues to weigh on SOL’s performance and contributes to its volatility.

Monitoring the transition to more sustainable drivers of network activity, Standard Chartered is closely tracking stablecoin transfer volumes and the velocity of these transfers on Solana. The expectation is that as micropayment use cases strengthen and stablecoin activity grows, they will foster a more stable demand curve for SOL, potentially improving its market position relative to Bitcoin and other cryptocurrencies in the longer term.

Looking ahead, the bank projects that Solana will outperform Bitcoin by 2030, reflecting the maturation of its network and the increasing adoption of use cases that extend beyond speculative investment. This forecast aligns with the notion that Solana, through its technological efficiency and adoption by AI-related payment frameworks and stablecoin transactions, could emerge as a leader in the digital payment ecosystem.

Given the volatility and evolving dynamics in the crypto market, investors are advised to consider both the risks and potential rewards associated with Solana’s trajectory. The cryptocurrency remains subject to the influence of meme-related speculative activity, and its ability to scale and pivot toward transactional use is not assured over the near term.

Key Points

  • Standard Chartered has lowered the near-term price target for Solana to $250 in 2026, reflecting recent price declines.
  • The long-term projections see SOL rising significantly, reaching $2,000 by 2030, based on anticipated growth in micropayments and stablecoin transfers.
  • Solana’s transaction speed and ultra-low fees provide competitive advantages, with stablecoin turnover currently exceeding Ethereum’s by two to three times.
  • The token is expected to underperform Ethereum through 2027 due to a longer timeline required to expand its use cases and infrastructure.

Risks and Uncertainties

  • Solana’s ongoing exposure to meme-coin trading activity, which accounted for nearly half of projected on-chain fees in 2025, poses risks to price stability.
  • The pace at which Solana can scale its core use cases and shift beyond speculative activity remains uncertain and may delay expected price improvements.
  • Volatility inherent to cryptocurrency markets complicates forecasting and may result in deviations from projected price targets.
  • Competition from other blockchain networks like Ethereum may limit Solana’s adoption and transactional volume growth in the short to medium term.
Risks
  • Significant portion of Solana’s fees generated from meme-coin dominated decentralized exchanges, exposing it to speculative activity.
  • Uncertainty regarding Solana's ability to scale its core use cases and transition fully to utility-driven transactions.
  • Cryptocurrency market volatility may impact Solana’s price trajectory and undermine forecast accuracy.
  • Strong competition from Ethereum and others could restrict adoption and stablecoin transaction growth on Solana.
Disclosure
Education only / not financial advice
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