Speaking at the Token2049 conference in Dubai, the famous macroeconomic expert Raoul Pal“Banana Zone” announced his new thesis. According to Pal, the increase in global liquidity and the low investor appetite will unite and bring the market to the most explosive phase so far. Pal Do not listen to fear, follow the money, Pal Pal says, especially in the crypto currency market, a historical bull run is at the door.
How does liquidity increase feed Bitcoin?
PAL, 90 percent of asset prices depends on liquidity flow, stating that Bitcoin $94,235.30 And Nasdaq He showed the index as an example. While the expanding money supply upsenses both stocks and crypto currencies at the same time, the depreciation of inflation and the depreciation of the currency creates a hidden “reserve tax” of 11 percent on an annual basis. For this reason, he stressed that investors should target a return on these rates in order not to erosion their deys.
Housing prices become inaccessible, especiallymillennium beltHe pushes alternatives. Pal said that this generation preferred crypto currencies from the highest of this generation, “Young people agree to volatility because they do not allow classic roads to grow their reserves.” As a matter of fact, Bitcoin’s an average annual return of 130 percent since 2012 and 48.4 percent growth in the last 12 months supports this argument.
Pal’s “Banana Zone” strategy
In Pal’s eyes, Bitcoin has entered the third stage called “Mania Phase .. In this phase, the price can climb to 250 thousand – 450 thousand dollars,altcoinHe says that the rise of up to 20 floors is possible. Macroeconomic expert, who argued that there is an environment similar to the 2020 and 2009 cycles, underlined that institutional money has not yet been fully on the stage.
Warning to investors “Stay calm, stay away from the leverage and fraud”, PAL suggested that assets should be safely stored and to follow the liquidity trends. According to him, those who follow the macroeconomic indicator set regularly will be the earliest captures on the market.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
