It’s been just revealed that there’s a massive crypto liquidation warning out these days and Raoul Pal reports more about this issue. Check out the latest reports below.
According to the latest reports, the macroeconomic expert Raoul Pal says global markets are locked in a mass liquidation phase. What’s worse, is that he doesn’t expect a turnaround in the short term.
More pain for crypto holders
In a new interview on Real Vision, Pal explained that no matter what’s in your portfolio, more pain is likely in store.
Pal also made sure to cite the US dollar as the only asset that may remain strong.
“This is an ugly market. What I think is going on here is there are two factors for the market to digest. One is inflation, and that created the market to set up in certain ways.”
He continued and said the following:
“Everyone’s crowded into certain things. Then, growth starts evaporating. You can see it all over the place, [in] stuff like consumer discretionary stocks. You can see it in the forward-looking indicators.”
Pal also said that there is a massive liquidation going on as people struggle with their portfolios because “basically whatever position you’ve got, it’s wrong. And that’s the pain everyone’s gonna have to take for a while.”
He predicted that inflation and growth will move lower at the same time in the following months. If this outlook comes to pass, he said that growth stocks, gold, and crypto may benefit from all this.
“If I’m right and that inflation story is going to change and growth is going to go slower, then we start shifting into a dynamic where we question what the central bank’s going to be doing.”
Regarding the price of BTC today, at the moment of writing this article, BTC is trading in the red and the king coin is priced at $38,478.