• Former Goldman Sachs executive believes $ETH will reach $20k by March at the latest

  • Raoul Pal, a former Goldman Sachs executive, discussed Ethereum and two of its (currently) faster and less expensive competitors in a recent interview.

    Pal co-managed the GLG Global Macro Fund in London for global asset management firm GLG Partners (which is now known as “Man GLG”) prior to founding macroeconomic and investment strategy research service Global Macro Investor (GMI) in 2005. Pal was previously with Goldman Sachs, where he co-managed the European hedge fund sales business in Equities and Equity Derivatives. He is currently the CEO of Real Vision, a finance and business video channel he co-founded in 2014.

    Pal made his comments about the cryptocurrency market during an interview with the host of the “InvestAnswers” YouTube channel on November 30.

    Pal stated the following about the Ethereum price outlook: “I’m working with base case probabilities.” There are no guarantees. I still believe ETH will finish this year closer to $15,000 than $10,000… Simply by the nature of what is happening right now, as well as the chart patterns and, you know, the people who are entering the space. I’m still seeing ETH… The low-probability upside is that it will reach $40,000 by the summer. This is due to the staking cycle and how the charts appear. And I get that by using the log chart, extending it forwards, and a few other things. It’s not my baseline; my baseline would be $20,000 in ETH by March at the latest.” When asked if he was concerned about Ethereum having so many strong competitors, Pal responded:

    “I don’t mind. Of course, ETH’s dominance, like Bitcoin’s dominance, will fade over time as new technology enters the space, solves different problems, and has different orders of centralisation… and that’s perfectly fine. As a result, Bitcoin’s dominance will wane over time. The dominance of ETH will wane over time. Because the structure of this space is changing, SOL’s dominance over others will wane over time. So that’s not a problem for me. I’m not a fan of ETH. I’m just like, this is the best horse to back because it has the best risk-adjusted return. “I consider myself a crypto maximalist.”

    Later, when asked why he is so heavily invested in $ETH if he believes Ethereum’s dominance over other L1 blockchains will fade over time, Pal responded:

    “I believe Solana will outperform ETH in the cycle, and I believe Terra will outperform ETH.” So, why don’t I have all of my money invested in those? Because the network effects are less pronounced, I have less certainty. As a result, I’ll have to place a smaller bet, but I don’t believe ETH will stop rising. Over the next ten years, the entire space will grow 100X. So you can bet on a variety of horses and still make money.”

    Later in the interview, Pal was asked what cryptoasset he would hold for seven years if he had to. After a brief pause, he replied, “Ethereum.”

    Finally, when asked how high the price of $SOL could go, Pal stated that “it just exactly mirrors ETH [in] 2017,” which he confirmed would mean that the price of $SOL could reach $2000 in this cycle.

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