According to Ryan McMillin, Chief Investment Officer of cryptocurrency fund manager Merkle Tree Capital, Solana is expected to rise to $400 during the US elections in November, riding the wave of election-themed memecoins.
Two Solana-based altcoins, Jeo Boden and Donald Tremp, named after the shuffled versions of the last two US presidents, were instrumental in this prediction. These memecoins helped Solana surpass Ethereum in trading volume this Thursday.
“Memecoins will enter deeper into the bull market,” McMillin said, suggesting that these two altcoins will be actively traded in the coming months. The rise of these memecoins coincided with former US President Donald Trump’s strongest-ever support for cryptocurrencies and current President Joe Biden’s threat last week to veto a bill supporting them. of cryptocurrencies, thus making cryptocurrencies an election issue.
According to the analyst, the volatility experienced in Solana due to this news should restore investor confidence in the blockchain, which has been marred by disruptions over the years. “While Memecoins are a ridiculous and speculative short-term instrument, they pave the way for other, more sustainable use cases, such as tokenizing real-world assets,” McMillin added.
Currently, Solana trades at around $136, which is still far from the all-time high of $260 set in November 2021. But according to McMillin, the increase in transaction volume has served as a real stress test for the Solana network.
Furthermore, the analyst suggested that Solana’s price will be supported by more liquidity entering the market as the US Treasury takes measures to strengthen the economy.
*This is not investment advice.
