Bitcoin will soar to a mind-boggling $1 million by 2025, predicts Real Vision founder and CEO Raoul Pal.
In an interview with Stansberry Research, the former Goldman Sachs hedge fund manager said an “enormous wall of money” will flow into the leading crypto over the next half decade.
He told host Daniela Cambone: “I think it’s going to be not because the world’s collapsing; it’s because there’s going to be adoption by the real large pools of capital.
“We’re going to go through two of these halving cycles, and just from what I know from all of the institutions, all of the people I speak to, there is an enormous wall of money coming into this. It’s an enormous wall of money, just the pipes aren’t there to allow people to do it yet, and that’s coming, but it’s on everyone’s radar screen and there are a lot of smart people working on it[.]”
Bitcoin’s third halving cycle began in May 2020 and will continue for about four years. If bitcoin’s price action mirrors that of past halvings, it will dramatically rise in value. In the last cycle, it soared from $1,000 to $20,000 before sharply correcting. Its price at the time of writing (12.10 am in Hong Kong) was $11,332, according to CoinMarketCap.
As Asia Times recently reported, Pal’s “wall of money” appears to be flowing in already. MicroStrategy, Square and Stone Ridge have invested $425 million, $50 million and $115 million, respectively. MicroStrategy founder Michael Saylor recently said the business intelligence software firm’s move was just the beginning of a massive corporate shift into bitcoin as a store of value as uncertainty over the future of the US dollar grows.
Gold loses its shine
Pal said he was so confident that bitcoin is, as legendary Wall Street investor Paul Tudor Jones described it, “the fastest horse in the race,” that he was seriously considering converting his gold to what senior Bloomberg analyst Mike McGlone believes is the digital version of the precious metal.
He said, “When you get to the macro opportunity, when it’s all happening, bitcoin starts breaking out of these patterns that it’s been forming, it is going to massively outperform gold, I’m 100% sure of that. In which case why would I have a gold allocation?”
MicroStrategy’s Saylor recently expressed it even more strongly: “Bitcoin isn’t 10x better than gold, it’s 100x, maybe it’s 1,000x better than gold.”
Crypto YouTuber Lark Davis believes Pal’s projection is highly optimistic but reasonable, “He may just be right. A trickle of institutional money coming into the market is about to turn into a flood … so much so that miners are going to be unable to keep up with demand. In fact they are already not able to keep up with demand. In fact a big supply shock may be looming for bitcoin.”