Fun

‘Enormous Wall of Money’ Coming Into Bitcoin, Price to Reach $1 Million in 5 Years, Says Raoul Pal

News Feed - 2020-10-14 12:10:49

"Enormous Wall of Money" Coming Into Bitcoin, Price to Reach $1 Million in 5 Years, Says Raoul Pal


Macro strategist Raoul Pal says the price of bitcoin will reach $1 million in five years. He attributes the price increase to adoption by large pools of investors and the “enormous wall of money” coming into bitcoin, rather than because “the world is collapsing.” $1 Million Bitcoin in 5 Years


Former hedge fund manager Raoul Pal shared his view on the economy, gold, and bitcoin last week in a podcast interview with Daniela Cambone of Stansberry Research. Pal previously co-managed the GLG Global Macro Fund in London after departing Goldman Sachs where he co-managed the hedge fund sales business in Equities and Equity Derivatives in Europe. He then founded Global Macro Investor and Real Vision Group.


“The economy is not going to recover for a lot longer than we expect,” he began. “There’s no stimulus around and we’ve got more problems to come in Europe, the U.S. and elsewhere. And businesses don’t have enough cash flow, they’re closing in droves and that’s what I called the insolvency phase.” The former hedge fund manager added, “The only answer is more from the central banks, so that’s why I started to buy more and more bitcoin.”


His portfolio used to be equally distributed between U.S. dollars, gold, equities, and bitcoin. However, he revealed during the podcast that his bitcoin allocation is “probably above 50% now.” While acknowledging that this BTC allocation exposes him to a 50% downside, he said it is ok for him because the upside is “so much bigger.”


Pal explained that he has reduced his cash holdings and put the funds into bitcoin. “My trading positions are relatively small because I don’t think there’s as much opportunity as the room is in bitcoin. So really, mainly a bit of cash, some gold, and bitcoin. And I’m even toying with the idea of selling my gold to buy more bitcoin,” the founder of Global Macro Investor shared, elaborating: I don’t dislike gold but when you get to the macro opportunity … if bitcoin starts breaking out of these patterns that it’s been forming, it is going to massively outperform gold. I’m 100% sure of that so in which case why would I have the gold allocation.


The former Goldman Sachs manager clarified that he is “not fearful of hyperinflation, default or anything else,” adding that he is interested in people “adopting a different monitoring unit for their savings and reserve assets.”




Pal has a bullish forecast on the price of bitcoin, predicting that it will be $1 million within five years. He explained: It’s going to be not because the world is collapsing [but] it’s because there’s gonna be adoption by the real large pools of capital.


He sees bitcoin adoption happening in waves, starting with retail and moving into hedge funds. However, he noted: “We are not there yet. You can’t prime broke bitcoin assets but that’s coming. We’re starting to see family offices in the space. Next is the institutions, the endowments, the pension plans, and within that you’ll find some government … suddenly say we have allocated 5% in bitcoin.” He believes that it will be a country such as Nicaragua or one with constant problems of currency devaluation. When that happens, he says it will be “another huge story,” much like the story of Microstrategy moving $425 million treasury reserve into bitcoin.


Emphasizing that “the pipes aren’t there” to allow large institutional investors to invest in bitcoin yet, he said, “but that’s coming … it’s on everybody’s radar screen and there’s a lot of smart people working on it.” Pal further shared: From what I know, from all of the institutions, [and] all of the people I speak to, there’s an enormous wall of money coming into this.


Do you agree with Pal? Let us know in the comments section below. Market Update: Bitcoin Captures $11K, Flash Buy Signals, Bollinger Band Squeeze MARKETS AND PRICES | 5 days ago Bitcoin To Hit $100,000 in Five Years as Demand and Adoption Increase - Report MARKETS AND PRICES | Oct 6, 2020 Tags in this story bitcoin million, Bitcoin Price, bitcoin price forecast, bitcoin price increase, bitcoin price prediction, gold, institutional investors, roaul pal, world collapsing


Image Credits: Shutterstock, Pixabay, Wiki Commons Spot-markets for Bitcoin, Bitcoin Cash, Ripple, Litecoin and more. Start your trading here. Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments

News Feed

Messari Founder Ryan Selkis Announces Senate Run for 2024 — ‘Enough Talk’
Messari Founder Ryan Selkis Announces Senate Run for 2024 — "Enough Talk" Ryan Selkis, the founder of Messari, a cryptocurrency research company, has announced he will be running
Tom Blackstone5 hours agoBase launches mainnet bridge UI for end users, sets Aug. 9 for official launchCoinbase’s Base network began onboarding end users through a bridge UI, and the team announced Aug. 9 as the platfo
Martin Young5 hours agoVitalik Buterin reveals X account hack was caused by SIM-swap attackThe Ethereum co-founder has regained control of his T-Mobile account, confirming that a SIM-swap attack resulted in the hack of h
BTC price demands $63K flip as BlackRock CEO calls Bitcoin ‘legitimate’
William Suberg7 hours agoBTC price demands $63K flip as BlackRock CEO calls Bitcoin ‘legitimate’BTC price holds its weekend gains as Larry Fink confirms that he is no longer a Bitcoin “skeptic.”4704 Total views12
Moody’s States Inflation Is Affecting Economic Recovery in Part of Latam
Moody"s States Inflation Is Affecting Economic Recovery in Part of Latam Moody’s, the asset quality rating agency, has warned the high rate of inflation that some countries
Bitcoin, Ethereum Technical Analysis: ETH, BTC Volatile as US Inflation Hits 40-Year High
Bitcoin, Ethereum Technical Analysis: ETH, BTC Volatile as US Inflation Hits 40-Year High Prices of ethereum and bitcoin were volatile on Thursday, as markets reacted to U.S. infla
Jesse Coghlan4 hours agoCrypto firm Helio Lending gets bond sentence over false license claimsMelbourne-based crypto lender Helio Lending had previously pleaded guilty to falsely claiming it had an Australian credit lice
Bank of Spain Governor Warns About Traditional Banking’s Exposure to Crypto Assets
Bank of Spain Governor Warns About Traditional Banking"s Exposure to Crypto Assets The Governor of the Bank of Spain has alerted the public about the risks mixing traditional banks
Worldcoin denies insider trading and price manipulation allegations
Ezra Reguerra14 hours agoWorldcoin denies insider trading and price manipulation allegationsA Worldcoin spokesperson told Cointelegraph that people covered by their policies are prohibited from disclosing confidential in
Telegram Token Investors Reject Refund Offer
Investors in Telegram’s blockchain project have opted to stick with the firm despite the U.S. Securities and Exchange Commission (SEC)’s recent injunction against the messaging platform’s token offering.
Chainlink (LINK) Set For $36? Whale Moves Suggest A Big Rally—Analyst
Este artículo también está disponible en español. Analysts anticipate a potential breakout to $36, as Chainlink (LINK) is currently exhibiting robust upward momentum. In
China to Crack Down on Copyright Infringement Through NFTs
China to Crack Down on Copyright Infringement Through NFTs Authorities in China are going after creators of digital collectibles based on other people’s works of art, the us