Former Goldman Sachs hedge fund manager Raoul Pal says Bitcoin (BTC) is seriously undervalued.
The CEO of Real Vision and Global Macro Investor, who predicted the 2008 financial crisis, is explaining why he is making a long-term bet on the leading cryptocurrency. He says Bitcoin’s recent breakout from a symmetrical triangle dating back to late 2017 is just the beginning.
“I like to get the texture of a move by looking at the long-term charts. Bitcoin is a stunner. The monthly chart has only just broken out this month. It has a long way in time and price to go and in log-terms is barely broken out yet.
Super, super early days for what is likely to be a very big move as institution finally follow what retail BTC investors have known all along – that this is the future and it’s wildly underpriced.”
Although he’s very bullish on BTC, Pal says he’s also betting on Ethereum, and thinks it will outperform BTC in the near term.
“I like both but I’m personally adding to BTC and not to gold and have a much larger weighting. I also like Ethereum, which could continue to outperform BTC for a while still.”
Earlier this year, Pal said Bitcoin has the potential to surpass $1 million in the next three to five years, calling BTC the “biggest trade of our lifetimes.”
Featured Image: Shutterstock/Tithi Luadthong