Macro guru and former Goldman Sachs executive Raoul Pal says Bitcoin is forming a pattern that could anticipate a massive rally.
Real Vision’s CEO tells his 652,000 followers that Bitcoin forms a giant descending wedge, reminiscent of a pattern that formed from 2017 to 2020. When BTC broke out of technical formation, it soared to its all-time high of over $ 64,000.
“Bitcoin’s long-term log chart looks pretty lush. Who knows if the wedge will break [the] first attempt, but a consolidation pattern of this magnitude usually leads to a very, very strong upward movement. “
Based on Pal’s chart, the macro-investing veteran suggests that Bitcoin could shoot out of reach sometime between now and early next year.
Pal also sees a wedge forming in the Bitcoin pair of Ethereum (ETH / BTC). According to the macro guru, ETH / BTC could break out of its resistance at the top of the wedge and trigger a 100% rally from current levels.
“Speaking of lush charts: The ETH / BTC cross has seen a nice consolidation and should almost double from here if and when the wedge breaks.”
The investor’s ETH / BTC forecast is in line with previous claims that Ethereum is one of the best bets in any financial market. According to Pal, the coming months should be “ridiculous” for the crypto markets, which includes significant rallies in ETH / BTC.
“My thesis is based on October, November [and] December are ridiculous. I use a lot of diagrams for this. [I] Take a look at some of the other protocols and tokens compared to Ethereum and Bitcoin, as we should be looking at the risk curve even further out. So over time we should see Ether / Bitcoin intersect. I think that’s almost 0.08 [BTC]. It came down again … 0.07 [BTC]. I guess once it goes through 0.08 [BTC] that will be the signal for the next phase in this whole crypto market, which is usually the profitable phase. “
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