The co-founder of BlockTower Capital predicts how long Bitcoin Bull Run will last, saying that the top crypto might hit $400,000.
BlockTower Capital CIO and co-founder Ari Paul said that he believed Bitcoin can potentially print over 10x gains in the next two years.
In the latest tweet, a blockchain investment firm executive tells his 149,000 followers that the bull market might last until the end of 2022 with Bitcoin poised to grow from 153% and 915% from its recent price of $39,400.
“Time-wise, my guess is we have 9-22 months. Price-wise – my guess is BTC ends the bull run between $100k-$400k.”
In an interview with Bitcoin bull Raoul Paul, he explains that while he’s long-term bullish on Bitcoin, he believes that altcoins will outperform the crypto asset in the coming months.
“So if this bull market resembles those that came before it, and I think it likely will, the last third of the bull run, all coins, in general, are likely to outperform Bitcoin. And that’s happened every time in the past. It tends to happen in traditional markets, where you get– basically, lower-quality small caps outperform quality. And the reason is people’s risk tolerance grows.”
“There’s a greed element. They generate a lot – Bitcoin goes up 5x, people are now rich. They’re looking for their next 5x. And Bitcoin feels like it’s going to be hard to give it to them. So you start rotating into lower-quality assets, chasing that same high.”
As for timing the bull market top, the BlockTower Capital managing partner stated that he’s on the lookout for signs of extreme greed.
“Things I’ll be watching for are: rallies being driven by retail traders with high leverage, total leverage in the ecosystem at exorbitant levels…”
“Timing market tops is exceptionally hard. Hardly anyone is really good at it. I do think it’s very possible to identify the ‘9th inning,’ the general last phase. The challenge is that this phase could last a year (although that’s unlikely), and BTC might rally 300% during it.”
When it comes to making the best out of the recent boom cycle, Paul suggested that the best strategy is to watch it unfold.
“If I’m even close to right, it will be difficult to beat a buy and hold strategy through the end of this bull run. For active traders, it’s certainly possible to add lots of alpha with timing and rotation, but the opportunity cost of mistakes is high.”
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