🍌 The Banana Zone: Are we on the verge of the next big cycle?
In this context of economic slowdown, lower inflation, and expectations of lower rates, signs begin to emerge that remind us of the beginnings of previous bullish cycles. This is the framework in which Raoul Pal, macro analyst and founder of Real Vision, introduces his concept of the “Banana Zone”: a phase of the market where extremely favorable conditions converge for risky assets, especially crypto assets and emerging technology.
In his presentation at Sui Basecamp 2025, Pal describes this zone as the moment when:
Central banks begin to lower rates
Liquidity is reactivated via QE or indirect stimulus
Crypto technology enters a phase of accelerated adoption
The narrative shifts from fear to euphoria (often without warning)
According to Pal, we are not yet in the Banana Zone, but the pieces are already falling into place: high rates for the last time, contained inflation, monetary policy in transition, and markets beginning to show divergences (like Bitcoin decoupling).
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