Institutional money may propel Bitcoin to $250K in one year's time, says macro investor

Published at: Nov. 27, 2020

Bitcoin may hit $150,000 by November 2021, according to Raoul Pal, founder and CEO of Global Macro Investor and Real Vision — and that would be the most conservative scenario. Pal believes that Bitcoin could even reach $250,000 due to the large amount of institutional money currently flowing into the Bitcoin market.

That is what, according to Pal, makes the latest Bitcoin rally fundamentally different from 2017’s crypto bubble, which is believed to have been driven mainly by retail investors.

According to Pal, most of Bitcoin's additional supply is currently being absorbed by PayPal, Square — which recently adopted crypto services  — and Grayscale. He believes that the resulting supply squeeze is the catalyst for Bitcoin’s latest surge.

“I've never seen a market with this supply and demand imbalance before”, Pal said, pointing out the macroeconomic factors that are playing in Bitcoin’s favor.

Despite news on the coronavirus vaccine sparking hopes of a quick economic recovery, governments will likely need to release additional monetary stimulus to sustain their economies. That, according to Pal, will lead to a devaluation of fiat. He believes that this together with low interest rates will propel Bitcoin's price to new highs.

"It's life-changing. No other asset has an upside of 5x, 10x, 20x in a short space of time," he stated.

Check out the full interview on our YouTube channel, and don’t forget to subscribe!

Tags
Related Posts
Rothschild Investment Corp has increased its Bitcoin exposure by 300% since April
Billion-dollar investment firm Rothschild Investment Corp quadrupled its exposure to Bitcoin (BTC) since April, new records show. In a filing with the United States Securities and Exchange Commission (SEC) on Saturday, Rothschild confirmed that it now owns 141,405 shares of the Grayscale Bitcoin Trust (GBTC). Rothschild GBTC shares near 150,000 A quiet but nonetheless substantial player among institutions, Rothchild Investment Corp has also invested in Grayscale’s Ether (ETH) equivalent, the Grayscale Ethereum Trust. Its exposure to Bitcoin has increased considerably this year, the filing shows — in April, its GBTC shares totaled 38,346. In BTC terms, with each GBTC share …
Bitcoin / July 20, 2021
JPMorgan turns bullish on Bitcoin citing ‘potential long-term upside’
JPMorgan, the $316 billion investment banking giant, said the potential long-term upside for Bitcoin (BTC) is “considerable.” This new optimistic stance towards the dominant cryptocurrency comes after PayPal allowed its users to buy and sell crypto assets. JP Morgan, from "Bitcoin is a fraud and will blow up" in 2017 to "Bitcoin’s competition with gold" in 2020. We've come a long way. pic.twitter.com/xceabkHaVJ — Krüger (@krugermacro) October 24, 2020 The main factor put forward by JPMorgan’s Global Markets Strategy division is Bitcoin’s competition with gold. The note, obtained by Business Insider, reads: "The potential long-term upside for bitcoin is considerable …
Bitcoin / Oct. 24, 2020
Not bad for 2020: Up 42% in Q4, Bitcoin price outperforms top bank stocks
Historically, traditional market analysts and old school investors tend to look at Bitcoin and other cryptocurrencies with a wary eye, and when crypto pundits attempt to make comparisons between the two these investors say it's an apples to oranges argument. Take, for example, Warren Buffett, who many a time has said Bitcoin is nothing more than a Ponzi scheme as it does not produce anything and therefore has no value. According to these traditionalists, comparing Bitcoin to Apple, Tesla, or a bank stock like JPMorgan is irrational as the latter employ workers, produce products, and generate revenues and dividends which …
Adoption / Nov. 5, 2020
Missed out on hot crypto stocks in 2021? It paid just to buy Bitcoin and Ethereum, data shows
Bitcoin (BTC) may have fluctuated in price this year, but BTC remains a better play than the biggest crypto stocks. New data currently circulating shows that for all the growth in the industry surrounding Bitcoin, it still pays simply to buy and hold. Stocks fail to compete with BTC, ETH Looking at the stock performance of firms with the largest BTC allocations on their balance sheets, it becomes immediately apparent that it was more profitable to hold BTC than those equities — at least this year. “Buying crypto stocks to outperform coins is hard,” Three Arrows Capital CEO Zhu Su …
Bitcoin / Dec. 22, 2021
Ether plunges 13% while Bitcoin pushes BTC dominance to 2022 high — More pain ahead?
Ethereum’s native token, Ether (ETH), plunged to its lowest level in almost two months against Bitcoin (BTC) as a crypto market sell-off intensified on May 12. Macro headwinds catch up to ETH/BTC finally The ETH/BTC trading pair fell by 7.5% to 0.0663 in the past 24 hours. The downside move came as a part of a correction that began May 11 when the pair traded at the local high of 0.0768. That pushed Ether down against BTC by up to 13.75%. Cryptocurrencies have come under stress in recent weeks alongside stock markets. Notably, money managers, traders and investors show signs …
Bitcoin / May 12, 2022