Raoul Pal, the co-founder and Chief Executive Officer (CEO) of Real Vision Group, has predicted that the global crypto market will reach a market capitalization of $100 trillion. The financial expert has maintained a powerful bullish position for the long run of the industry, outlining several the reason why he believes the market will jump 44X from its current market capitalization.
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Crypto Market To Hit $100 Trillion Market Cap
In a recent YouTube interview on the Blockworks Macro channel, Pal predicted that the overall market capitalization of the crypto industry could jump from $2.5 trillion to $100 trillion in lower than a decade. The financial expert disclosed that if the market maintains a gentle growth rate and continues to evolve at a rapid pace, then it could see its market capitalization surging by as much as 44X.
In an earlier post on X (formerly Twitter), Pal disclosed that assets like cryptocurrency and technology perform extremely well during secular trends based on adoption. He highlighted that this growth rate was twice the speed of the web’s adoption when comparing energetic wallets and IP addresses.
The analyst has based his $100 trillion crypto market capitalization on the rate of adoption of the crypto industry, highlighting that the increasing variety of cryptocurrency users can have an enormous impact in the marketplace’s value. Moreover, within the interview, Pal advised against taking unnecessary investment risks when engaging in cryptocurrencies.
He disclosed that the goal needs to be to maximize investment opportunities without getting caught up in tribal or philosophical debates. He emphasized that with the cryptocurrency market potentially reaching a $100 trillion market capitalization, it’s unnecessary to take excessive investment risks. As an alternative, investors should balance risk and opportunity, utilizing the appropriate portfolio management strategies to effectively capture the vast majority of the market gains.
Total crypto market cap currently at $2.04 trillion. Chart: TradingView
Market Liquidity May Proceed Into 2025
Through the YouTube interview, Pal forecasted that the present market liquidity cycle could extend into 2025. The Real Vision CEO disclosed that since 2008, there was a notable cyclicality in global liquidity. Diving into the nuances of what he calls “The Every thing Code,” Pal revealed that the present market cycle is significantly driven by the expansion of market assets reminiscent of stocks, cryptocurrency and technology.
He noted that the market was shifting towards a “Macro Summer,” marked by liquidity growth and sometimes related to the “Banana Zone.” In response to Pal, the banana zone is a period of serious upward price movements where market indicators turn bullish signaling the beginning of a recent bull run.
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The financial expert emphasized that the worldwide liquidity cycle tends to have a predictable pattern which influences economic activities. He highlighted several aspects that would also impact the cryptocurrency market cycle including the upcoming US Presidential elections and a possible rate cut by the Federal Reserve.
Featured image from Pexels, chart from TradingView