Raoul Pal Sees Crypto Rally Potential as Dollar Weakens

Real Vision founder Raoul Pal believes a weakening US dollar could provide a boost to the crypto market, signaling a potential extension of its current rally. In an interview with Cointelegraph, Pal explained that higher bond yields and a strong dollar are currently limiting liquidity flows into crypto. He noted, "If they can engineer the dollar lower, then we get a green light for further movement in crypto." However, he cautioned against excessive optimism, stating he hasn't given a full green light to all crypto assets.

Pal also discussed the interplay between crypto and AI investments, suggesting that Bitcoin may miss out on much of the economic activity generated by AI agents. Instead, he expects smart contract platforms like Ethereum and Solana to benefit more from this trend. He pointed out that AI agents are already using stablecoins to pay for web content, a feature introduced by Amazon Web Services in June, with Coinbase handling payment verification and settlement.

While Pal acknowledged Solana's growing activity, he remained skeptical about its ability to overtake Ethereum in market value. He argued that Ethereum's greater concentration of capital and higher total value locked in decentralized finance protocols give it a significant advantage. Pal also refrained from making specific price predictions, describing a million-dollar Bitcoin by 2030 as a "meme" reflecting growing adoption and ETF interest.