During 2021, meme stock rallies and cryptocurrency were trendy. One might make a similar case for crypto in 2022, but for different reasons.
The value of cryptocurrencies plunged sharply. Massive economic pressures, scandals, and meltdowns in the firm took away riches quickly. Many crypto aficionados are concerned about the future of the sector as 2022 draws to a close, especially in light of the recent FTX catastrophe and its many victims.
Sam Bankman-Fried is in jail and prices have fallen. The industry’s comeback is unclear. When will the market turn? How safe is crypto?
Raoul Pal’s Bullish Stance
Former Goldman Sachs executive Raoul Pal predicts rising crypto and equities. He expects the economy will improve.
An industry analyst recently predicted cryptocurrency market trends for 2023. Despite these breakdowns, he’s certain they’ll improve and aren’t unprecedented.
Later, he highlighted that anyone wishing to enter the market should be encouraged because this has happened before.
Raoul feels the market’s volatility will rise as customers leave when prices move sideways.
Pal thinks current market conditions resemble 2018 before a stock market and crypto bottom, predicting digital assets should experience substantial gains in the next 18 to 24 months due to rising adoption rates.
The markets flipped when the Fed changed. 20-30% decrease in 2018 Everyone was frightened, but then the Fed said, “Okay, the economic data is falling apart, inflation’s coming down, so we’re stopping.”
Key highlights of his conversation with Scott Melker on Youtube:
- Pal says we’re nearing the bottom of the liquidity cycle, but we’re not there yet, so don’t jump in just yet.
- Money flow tells which industries are moving, therefore the liquidity cycle lets you decide when and where to invest.
- When inflation is high and times are uncertain, people buy commodities, which explains tech stock and Cryptocurrency sell-offs.
- Pal thinks Cryptocurrency is nearing a bottom.
Will 2023 Mark The End of The Crypto Winter?
Macro experts say Bitcoin (BTC) and Ethereum will do well in 2023-2024.
While Bitcoin and ETH gained 300-400% in nine months, he claimed. Assuming them a huge environmental gain. Adoption is a craze, therefore he termed it an underwater beach ball.
Metcalfe’s Law is why Pal thinks BTC and ETH will shine next year. Metcalfe’s Law says a network’s worth is proportional to its user count.
Metcalfe’s Law kicks in throughout the long-term adoption period, driving exponential growth. Every time we reach this point, we reach new highs in 18 to 24 months. He expects 2023 and 2024 to be good.
Meanwhile, Bitcoin is trading at $16,720 and Ethereum is at $1,182 at press time, both fractional dips for the day.
- SEO Powered Content & PR Distribution. Get Amplified Today.
- Platoblockchain. Web3 Metaverse Intelligence. Knowledge Amplified. Access Here.
- Source: https://coinpedia.org/opinion/crypto-market-prediction-2023-raoul-pal-predicts-bullish-year-for-bitcoin-ethereum/
