Has the explosive phase begun? An economist predicts Bitcoin will reach $450,000
In a keynote speech delivered during an economic conference in Dubai, macroeconomic expert Raoul Pal issued a striking warning about ignoring global monetary reality, emphasizing that financial markets are on the brink of an explosive phase of the bullish cycle, driven by abundant liquidity and declining investor sentiment. Pal describes this phase as the most acute in years, as money flows into high-risk assets, led by cryptocurrencies. Global liquidity is inflating, and markets are bracing for a violent reaction.
Despite the prevailing pessimism in the general investment mood, Pal sees cryptocurrencies on the verge of a historic upward wave. He likens the current phase to what the market experienced in 2009 and 2020, when liquidity preceded institutional flows into digital assets. He believes the market is now in the third phase of its cycle, which is the frenzy or mania phase, characterized by rapid increases and strong speculation.
Pal predicts that the price of Bitcoin will reach between $250,000 and $450,000 in this cycle, while alternative cryptocurrencies could achieve gains exceeding 20 times, similar to what happened in the 2017 wave.
