Former Goldman Sachs executive Raoul Pal revealed that he expects an upside break for the altcoin markets. The famous investor believes that there will be an influx of capital into the cryptocurrency market. Here are the details.
Pal, in guessing It uses the TOTAL3 metric, which tracks the total market value of crypto assets other than Bitcoin (BTC) and Ethereum (ETH).
Pal notes that TOTAL3 is trading near the apex of a falling wedge structure. A falling wedge usually refers to a pattern where the price of an asset is stuck. In this case, according to Pal, the TOTAL3 price is bullish, which could signal a breakout in the altcoin markets. If this breakout occurs, the total market cap of altcoins could rise above $4 trillion. This means that altcoins will generally be bullish and investors can get more capital flows into the crypto markets.
“Awesome Graphic Alert!
I keep looking at this chart…
It’s one of the most excellent charts, the clearest rise I’ve ever seen, and the measured target is well over $4 trillion.
Total crypto market cap (excluding BTC and ETH).”
At press time, TOTAL3 stands at approximately $332.65 billion. The move to $4 trillion shows potential for an increase of more than 1,100%.
As for the market cap of all crypto assets, Pal thinks it could go up to $10 trillion.
Late last month, Pal said that as global liquidity increases, he expects crypto to be one of the fastest horses to possibly outperform any other asset class. He also noted that BlackRock’s spot Bitcoin exchange-traded fund application could attract fresh capital into the nascent space.
Of course, cryptocurrencies markets can be quite volatile and prices can change quickly. Therefore, there is no guarantee that Raoul Pal’s predictions will always be correct. However, his experience in the financial sector and his views based on market analysis should be taken into account and research should be done to learn more about cryptocurrencies.
You can follow the current price action here.