From the very brief reading I was doing on the online TSRM, it seems the malfunction codes for the most part only represent electrical issues with the no. 1 and no. 2 solenoids, so it appears that it would be pointing to a different electrical issue than the speed sensor. It would be my guess that it's a malfunctioning no. 2 solenoid, but you definitely need to pull the stored code(s) before doing anything else. That way you can start working on the known problem(s).
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1989 7MGTE R154 Targa Top White Package w/Blue Interior
Driftmotion 57trim CT26, Upgraded Intercooler, 2.25" Hard Pipes, 3" Turbo Back Exhaust with Test Pipe, HKS VPC w/GM 3 bar MAP sensor, APEXi S-AFC, Walbro 255lph fuel pump, ProSport EVO Series Boost / Fuel Pressure / AFR gauges, Lotek a Pillar Gauge Pod, HKS Type 0 Turbo Timer, Eibach Lowering Springs, Tokico Illumina II TEMS struts, custom powder coated Motegi Racing TrakLite wheels
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