Finance

Solana’s “Two Ways to Win”: How Bitwise Sees SOL Replicating Bitcoin’s Early Market Success

Analysts see long-term optimism for Solana, comparing its growth to Bitcoin and its role in stablecoins.

byAndres Castro

October 30, 2025, 7:47 PM

A backlit keyboard key prominently displays the logo for the Solana cryptocurrency. By MDL.

Executive Summary

Long-term optimism for Solana (SOL) is growing among analysts and institutional investors, with Bitwise CIO Matt Hougan asserting its potential for significant upside by paralleling Bitcoin’s early market trajectory.

Solana is strategically positioned to benefit from the expanding stablecoin and tokenization infrastructure market, which Hougan projects could grow tenfold over the next decade, evidenced by institutional adoption like Western Union’s selection.

Despite a recent price pullback to $181.48, analysts note a hidden bullish divergence on Solana’s chart, suggesting underlying strength and potential for price targets of $200, $220, and $255 if key support levels are maintained.

The Story So Far

Long-term optimism for Solana (SOL) is growing due to its strategic positioning within the expanding stablecoin and tokenization infrastructure market, which is projected for tenfold growth over the next decade, with institutional validation like Western Union choosing Solana for its stablecoin rollout, further underscoring its efficiency and rapid transaction capabilities.

Why This Matters

Long-term optimism for Solana (SOL) is growing among analysts and institutional investors, who see the blockchain strategically positioned to benefit from significant upside potential by capturing a larger share of the expanding stablecoin and tokenization infrastructure market. This positioning, coupled with its efficiency and rapid transaction capabilities, suggests Solana could become a critical component for future payments and asset transfers, attracting further institutional interest and driving substantial market growth akin to Bitcoin’s early trajectory.

Who Thinks What?

Bitwise Chief Investment Officer Matt Hougan asserts long-term optimism for Solana, drawing parallels to Bitcoin’s early market trajectory and highlighting its strategic position within the expanding stablecoin and tokenization infrastructure market as a key driver for significant upside potential.

Analyst Matthew Dixon identifies a hidden bullish divergence on Solana’s 4-hour chart, indicating underlying strength, and suggests potential price targets of $200 to $255 if key support zones are maintained.

Institutional investors, exemplified by Western Union’s selection of Solana for its planned stablecoin rollout, are increasingly validating the blockchain’s efficiency and rapid transaction capabilities for tokenized assets.

Despite a recent price pullback, long-term optimism for Solana (SOL) is growing among analysts and institutional investors, with Bitwise Chief Investment Officer Matt Hougan asserting the blockchain offers investors “two ways to win.” Hougan draws parallels to Bitcoin’s early market trajectory, highlighting Solana’s strategic position within the expanding stablecoin and tokenization infrastructure market as a key driver for significant upside potential.

Solana’s Growth Parallels Bitcoin’s Early Market Thesis

Hougan compared Solana’s investment case to Bitcoin’s initial growth within the global “store of value” market, currently valued at approximately $27.5 trillion. He explained that just as Bitcoin could multiply its value by maintaining or increasing its share in this market, Solana is poised for similar growth. He projected that Bitcoin could reach about $6.5 million per coin if it eventually captured 50% of the store of value market.

Similarly, Solana is positioned to benefit from both overall market expansion and increasing dominance in the stablecoin and tokenization infrastructure sector. This market is valued at around $768 billion, with Solana currently holding about 14% of it, translating to approximately $107 billion. Key players in this space include Ethereum, Tron, and Binance Smart Chain.

Expanding Stablecoin and Tokenization Market

The Bitwise CIO emphasized that a significant portion of future payments and asset transfers is expected to occur via stablecoins and tokenized assets, making the networks supporting these systems immensely valuable. Recent institutional validation includes Western Union selecting Solana as the blockchain for its planned stablecoin rollout. Solana’s efficiency and rapid transaction capabilities further enhance its appeal for tokenized asset issuance and payment infrastructure, with Hougan anticipating a tenfold market growth over the next decade.

Analysts See Hidden Bullish Divergence on SOL

Currently, Solana trades at $181.48, experiencing a 5.48% decline over 24 hours, with a market capitalization of $100 billion and a daily trading volume of $8.77 billion. Despite the correction, analyst Matthew Dixon identified a hidden bullish divergence on Solana’s 4-hour chart, indicating underlying strength in its price momentum.

Dixon suggested that if Solana maintains the crucial $182–$185 support zone, buyers might aim for price targets of $200 and $220. A confirmed breakout above $230 could further propel the price action towards $255, aligning with a projected wave 5 impulse pattern.

Outlook

Overall, despite short-term price fluctuations, the sentiment around Solana remains strongly optimistic, fueled by its strategic positioning in high-growth sectors like stablecoins and tokenized assets, alongside increasing institutional interest and favorable technical indicators.