According to a recent analysis from Standard Chartered, Solana (SOL) is projected to significantly outperform Ethereum (ETH) and Bitcoin (BTC) by 2025—if Donald Trump wins the U.S. presidential election. Geoffrey Kendrick, Global Head of Digital Assets Research at the bank, predicts a fivefold increase in Solana’s price under a Trump presidency. However, Kendrick still forecasts Bitcoin reaching $200,000 by the end of 2025, regardless of the election’s outcome, reports Decrypt.
Kendrick introduced new valuation metrics for layer-1 blockchains, with a particular focus on Solana and Ethereum. Solana is currently richly valued compared to Ethereum, with a market cap-to-fees ratio of 250x versus 121x for Ethereum. This high valuation indicates significant market expectations for Solana’s growth, with projections of a 100-400x increase in throughput over the coming years, according to the Decrypt report.
The analysis also highlights the impact of the U.S. presidential election on these valuations. Kendrick argues that a Trump administration would be more favorable to the digital asset ecosystem, which could fuel Solana’s rapid expansion. In such a scenario, Standard Chartered expects $SOL to outperform $ETH and $ETH to outperform $BTC by the end of 2025. Kendrick believes Solana could see a fivefold price increase under Trump, while Ethereum could quadruple and Bitcoin could triple.
However, Kendrick’s projections shift under a Kamala Harris presidency. In this case, he thinks Bitcoin would outperform Ethereum, and Ethereum would outperform Solana in 2025, reflecting a different regulatory environment. The report also offers specific price targets for Ethereum, estimating it could reach $10,000 under Trump and $7,000 under Harris.
$SOL is currently trading at around $144.04, down 3.7% in the past 24-hour period.
Featured Image via YouTube
