Solana could rally above $500 – Assessing Peter Brandt’s prediction
Here's why an analyst expect SOL to cross $500 and double XRP's potential investor returns in the mid-term.
- A renowned trader forecasted that SOL may outperform XRP by over 2x.
- The MVRV metric suggested that SOL had more room for growth before topping out.
According to renowned trader Peter Brandt, Solana [SOL] may offer better returns than Ripple [XRP] in the mid- to long term among large-cap altcoins.
In an X (formerly Twitter) post on the 25th of May, Brandt’s projection showed that XRP had broken out from a descending triangle and could tag $4.4, offering an extra 87% gain from the current $2.3.
But for SOL, the trader’s analysis revealed that the altcoin formed a bullish cup and handle pattern. A breakout from the formation may rally SOL to $518 or 195% from the current $177 price level.
If validated, SOL may outperform XRP by over 2x. But do current SOL valuation and accumulation support the bullish outlook?
MVRV hints at an extra growth for SOL
Historically, MVRV, a valuation indicator, marked SOL’s past local peaks and cycle tops when it tagged 2-2.5 or above 3.5. For 2021, it topped out at $260, and MVRV jumped above 3.5.
In early 2024 local peak of $200 MVRV surged above 2.5. For the late November and January 2025 peaks ($295), SOL’s MVRV tapped 2.
If history repeats itself, SOL may hit another local peak when the metric jumps to 2 or 2.5 and hit a cycle top if it extends above a 3.5 reading.
The current MVRV value was 1.2, indicating there was extra growth before 2/2.5 or 3.5 levels are hit.
On the address activity front, wallets with over 1K SOL have shown close positive correlation to the altcoin price action.
Since March, the number of wallets with over 1K SOL rose from 21.6K to 23K. The metric’s steady rise will suggest sustained market accumulation and potential rally. But a decline may complicate the bullish price outlook.
Taken together, Brandt’s forecast and on-chain metrics suggested SOL may hit a new all-time high (ATH) in the next few weeks or months.
However, prediction site Polymarket revealed that the market was nearly 50/50 about SOL surging to a record cycle high in 2025.
