Solana’s SOL Could Top $520 by December 2025, Says VanEck.

VanEck has predicted that Solana’s SOL token could reach $520 by the end of 2025, citing a rise in the M2 money supply and increasing demand for smart contract platforms (SCPs) as key drivers.

M2 money supply is a broad measure of the total amount of money circulating in the U.S. economy, including cash, checking deposits, and assets like savings and money market funds. VanEck forecasts that M2 will grow from $21.5 trillion to $22.3 trillion by 2025, a trend that typically fuels higher liquidity in the financial system and encourages investments in assets like cryptocurrencies.

In addition to the surge in M2 money supply, the market for smart contract platforms, where Solana operates, is expected to see substantial growth. VanEck anticipates that the SCP market will expand by 43% to reach $1.1 trillion by the end of 2025, and Solana is projected to capture a larger portion of this market. Currently holding 15% of the SCP market, VanEck expects Solana’s share to increase to 22% by the end of 2025.

“We project Solana’s market share will increase to 22% by year-end 2025,” said VanEck in their report. “This projection is supported by Solana’s strong developer activity, growing decentralized exchange volumes, and expanding user base.”

VanEck’s analysis also uses an autoregressive forecast model, which takes historical data to estimate future outcomes. Based on this model, the firm predicts Solana’s market cap could reach around $250 billion, with SOL’s price hitting $520, assuming a circulation of approximately 486 million tokens.

VanEck, along with other U.S. firms, filed for a Solana-focused ETF in 2024. Although the SEC had previously denied Solana ETF applications, it recently acknowledged Grayscale’s Solana ETF filing, which could pave the way for approval by October.