Raoul Pal: $1 Million Dollar Bitcoin More Likely Than Ever
Bitcoin was on quite a run of late. Yesterday, it crossed the $10,000 level for the first time in quite a while.
This is only the beginning according to the Global Macro Investor CEO, Raoul Pal.
He believes a wedge pattern that is just about complete will be the springboard to much higher numbers. The first deviation puts the price at $40,000 with the second at $1 million.
Another valuation method, Stock-to-Flow is putting the price of Bitcoin at $288,000 by 2024.
The coronavirus has caused a collapse of the global economy. This has spurred many to believe that fiat is going to crash along with this. This would bode very well for an asset like Bitcoin which has the ability to prosper in such an environment.
Pal came out with a report last month that proclaimed the Boomers as f*cked. He believes that boomers will sell their assets into every rally they can just to try to keep their head above water.
Many see Bitcoin with a $10 trillion market cap as very viable. At present, it is a bit over $200 billion. A run up to that level would put it near what gold is worth right now.
The big question is does such a run up also pull the alt-coins with it. Many believe the attention Bitcoin garners will flow to the rest of the industry. There are those, too, who believe that Bitcoin is the only viable crypto project out there and all others will eventually go away.
Cryptocurrency is part of Web 3.0 and the technological change of society. This is a crucial point as many look at it as only a financial tool. It is going to change the wealth structure of the planet since it introduces new distribution mechanisms.
The next couple years are going to be very interesting as the existing financial system shows some issues. If we head into a global depression, we could see a radical shift towards cryptocurrency.
The only way bitcoin doesn't break $1,000,000 is if the dollar collapses first.
The other factor is adoption. And all of us pioneers are wondering why this thing isn't our default currency yet. To us, this adoption rate seems like molasses.