Former Goldman Sachs executive Raoul Pal believes that it’s almost time for Bitcoin (BTC) to ignite the next phase of its uptrend.
Pal tells his 1.1 million followers on the social media platform X that Bitcoin tends to follow the global liquidity cycle but with a 10-week lag.
The macro guru shares a chart suggesting that global M2, or the total money supply across the world, has sharply risen after carving a bottom in late 2024. Based on the data, Pal predicts that Bitcoin will soon end its correction and begin sparking fresh rallies.
“The waiting game is almost over…the 10-week lead is my preferred.”
While Pal thinks that BTC rallies are imminent, he points out that Global Macro Investor’s (GMI) head of macro research, Julien Bittel, believes that Bitcoin trails the global M2 metric by 12 weeks. According to Bittel, Bitcoin will carve a local bottom this week before moving “higher again.”
Earlier this month, Pal predicted that global M2 will continue to rise while Bitcoin and crypto witness a “regular correction.”
“This too shall pass…
Crypto is still feeling the tightening in liquidity from the stronger dollar and higher rates in Q4 2024. That is almost done and financial conditions are easing fast and M2 is headed back to new highs.”
He also predicted that Bitcoin would hit a market cycle top of at least $210,000, but he also notes that it is within the realm of possibility for BTC to climb to $412,000 or $805,000.
“Over time, we just keep climbing the log regression channel. Whether we stay at the man (red) or climb above it by another standard deviation or two remains to be seen as the cycle develops.”
The logarithmic regression channel is a technical tool that helps traders visualize long-term price trends on a logarithmic scale.
At time of writing, BTC is trading for $82,500, down 2.25% in the past day.
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Generated Image: Midjourney
Read the full article here
Follow us on Google News to get the latest Updates
