Bitcoin and Ethereum Flash Historic Signal Amidst Central Banks’ Moves

It’s just been revealed that there are some pretty optimistic predicitons about the price of Bitcoin and Ethereum. Check out the latest reports below.

Macro guru Raoul Pal said that Bitcoin (BTC) and Ethereum (ETH) are displaying historic signals. It’s also important to note the fact that both crypto assets rest on critical support levels.

The former Goldman Sachs executive said not too long ago that Bitcoin is now the most oversold it has ever been. By saying this, he is implying ultra-high-value opportunities for longer-term investors.

“This likely cyclical low in BTC is the most oversold in history vs the long-term log trend (the Metcalfe’s Law adoption curve) at 2 standard deviations…”

Just in case you don’t know, Metcalfe’s Law states that the value of a network is directly related to the number of users it has. Pal says that Ethereum’s Metcalfe’s Law adoption rate is also at a crucial support level.

“And ETH is on its long-term log uptrend (the Metcalfe’s Law adoption curve).”

He also made sure to explain the fact that crypto prices are largely driven by USD liquidity, or the amount of dollars in circulation.

He said that the recent downturn in digital asset markets has coincided with a sharp drop in global liquidity. He also explained that the trend is about to reverse as central banks get backed into a corner.

“And this cyclical low which has pushed prices to the bottom of the long-term adoption curve is as ever driven by global liquidity… And global liquidity is on the cusp of a major turn, as recession comes into view and central banks change their policies.”

At the moment of writing this article, both BTC and ETH are trading in the red after some bullish moves that took place the day before.