Founder and CEO of Global Macro Investor, Raoul Pal, whose 50% investments are in Bitcoin, is forecasting a plethora of institutional investments to provide huge upward thrust to Bitcoin and take it to $1,000,000 over the next five years.
While speaking to Stansberry Research, the ex-hedge fund manager stated that the global economy is shifting from “hope phase” to “insolvency phase” as investors understand that it may take a lot longer to recover from Covid-19 pandemic than earlier anticipated. In addition to institutional adoption, he trusts the scenario would establish a long-term bull cycle for Bitcoin.
“…There’s no stimulus around, and we’ve got more problems to come in Europe, the US and elsewhere, and businesses don’t have enough cash flow. They’re closing in droves and that’s what I call the ‘Insolvency Phase’…
“Yeah, I think [$1 million is] about right. Just from what I know from all of the institutions and 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 everybody’s radar screen and there’s a lot of smart people working on it.”
Though Pal considers himself a “hybrid adopter” of both gold and Bitcoin, he still says that he’s considering selling his gold to buy more Bitcoin. “When you get to the macro opportunity, when it’s all happening and Bitcoin starts breaking out of these patterns that its been forming, it is going to massively outperform gold. I am 100% sure of that, so in which case, why would I have a gold allocation?”
