Former Goldman Sachs executive Raoul Pal said in a recent statement that he predicted a significant increase in the value of Bitcoin. According to Pal, the cryptocurrency market is on the verge of a bull cycle that could last up to four years and will potentially see Bitcoin reach $1 million by 2025.
Pal’s predictions are based on a long-term chart of Bitcoin’s performance since 2013, which he describes as a “perfect logarithmic trend.” Pal believes the business cycle will peak by the end of 2025 and suggests a target for Bitcoin that could range from half a million to a million dollars.
Drawing parallels with the 2016-2017 cycle, when digital asset prices rose due to a massive liquidity influx, Pal argues that the current bull market cycle is still in its early stages and has a long way to go. He points to the upcoming launch of the spot BTC ETF and the impending Bitcoin halving in April as key indicators of this trend.
“These cycles can be crazy, and this cycle looks more like the 2016-17 cycle than the previous cycle,” Pal said. He noted that there wasn’t a lot of central bank pressure in the U.S. in the previous cycle, but central bank balance sheets increased, leading to a 20% growth in liquidity. According to the analyst, this caused a significant explosion in crypto value.
Pal concluded his words as follows:
“I don’t focus on the end goal. I focus on structure. But I’m just showing you the magnitude of the opportunity. And we’re still at one standard deviation oversold level. We can play for anything. We just get started.”
*This is not investment advice.
Read the full article here
