Stock Market Bottom Alert: Raoul Pal’s Projections and Crypto Notes
Raoul Pal, a former Goldman Sachs executive, is projecting a potential market bottom after three consecutive weeks of corrective moves.
In his recent blog post, Pal suggests that the S&P 500 could enter oversold territory this week, prompting institutional buyers to step in and establish a market bottom.
Pal anticipates that due to the ongoing sell-off, the S&P 500 might return to oversold conditions this week or the next. He highlights the contrast between retail investors who have maintained long positions and professional investors who have been more cautious.
This divergence could lead institutional players to utilize the correction to cover underwater shorts and shift to more optimistic positions, potentially providing support to limit further equity declines.
Turning to Bitcoin, Pal notes its recent decline in tandem with the broader market. He points to the DeMark sequential indicator and the relative strength index (RSI) as indicators of a potential bullish reversal.
Bitcoin’s revisit to key support levels around $25,200 coincides with the activation of a new DeMark daily 9 setup, historically signaling price reversals. Additionally, the RSI for Bitcoin is at a notable low of 20, the most oversold since the prior year.
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Bitcoin’s current trading stands at around $26,125, reflecting a slight 0.3% decline over 24 hours.
Pal extends his analysis to Ethereum, highlighting its oversold RSI level since the previous year and suggesting a possible bull flag pattern formation. This pattern implies a consolidation phase before a potential continuation of an upward trend.
Ethereum’s current trading price is approximately $1,674, showing a modest 0.1% increase over 24 hours.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
