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Pal’s statement boldly claims that NDX and Crypto’s growth assets bottomed out before other investments.
Pal highlighted leading indicators and sees strong performance for the SPX in 2024, especially compared to the Russell 2000.
Meanwhile, a researcher at K33 Research noted that there is a significant premium on next month’s bitcoin futures contracts.
Renowned investor Raoul Pal used udqv data to confirm that 2024 will be a favorable year for cryptocurrencies, outperforming the outlook for tech stocks.
“This is where NDX and Crypto’s growth assets are and why they bottomed before others,” the statement claimed.
Pal predicts cryptocurrencies will outperform tech stocks
In a series of posts on X (formerly known as Twitter), Pal is a key market indicator and expressed his belief in a potential positive upside for the cryptocurrency market over the next 12 months.
"But our ISM leading indicator has been rising sharply. This is typically where the SPX is (one part is cyclical, the other part is growth) and explains the strength of the SPX relative to the Russell 2000 (RTY) or commodities..."
Furthermore, he predicted that within a year, the cryptocurrency market could see significant growth.
“Using our GMI Financial Conditions Index, we can look 11 months ahead and show that 2024 will be a strong year. This is where the growth assets of NDX and Crypto are and why they bottom before everything else…”
Meanwhile, Vetle Lunde, a researcher at K33 Research, outlined the Chicago Mercantile Exchange’s (CME) expectations that Bitcoin’s price will rise in the future:
Lunde said. “CME is very long. ATH OI, there is a lot of premium.”
He further noted that the divergence between Bitcoin’s spot price and futures contracts is a good indicator of bullish sentiment:
“Since launch, Bitcoin’s next month contract has only traded above the front month contract three times.”
Recent rumors surrounding the upcoming Bitcoin halving
There has been a lot of speculation lately about how the crypto market will perform over the next twelve months. This is especially true considering that Bitcoin’s halving is expected to take place in April 2024.
On November 12, the media reported on analysts’ predictions of taking advantage of the market shift and turning small amounts of Bitcoin into large six-figure sums.
According to one analyst’s model, traders should buy Bitcoin six months before the halving and sell it 18 months after the halving.
The move is allegedly intended to capitalize on Bitcoin’s cynical mode and capture the massive price surge that will come with the Bitcoin halving while avoiding the subsequent bear market. #高盛 #加密货币
