XRP News Today: Crypto Expert Predicts 2017-like Cycle Bitcoin Could Reach $400,000

Raoul Pal, CEO of Real Vision, shared his insights at the Sui Basecamp event in 2025, asserting that the present crypto market cycle closely resembles the events of 2017. This observation could signify forthcoming volatility and significant market moves, affecting major cryptocurrencies like Bitcoin and Ethereum, while echoing past market dynamics.

Pal identified the current crypto cycle as "spookily similar" to 2017, based on economic, sentiment, and technical evidence. He elaborates that, like in 2017, market corrections may precede a larger bull phase. Pal is a former Goldman Sachs executive and founder of Real Vision. His insights are widely respected in the cryptocurrency industry, drawing on his background in traditional and digital finance.

Pal's predictions come amid heightened interest in cryptocurrency market trends. He forecasts a parabolic phase with Bitcoin possibly reaching $400,000, implicating notable market movement for major cryptocurrencies. Pal attributes the cycle elongation to sustained higher interest rates, highlighting increased global liquidity as a major factor in impending market shifts. Historical market patterns serve as a guiding framework for these projections.

Pal's analysis suggests a prolonged cycle influenced by past dynamics, pushing Bitcoin and Ethereum toward significant valuation peaks. Such insights draw attention to macroeconomic conditions framing market volatility. The current cycle's likeness to 2017 is evident in the liquidity-driven market movements. In 2017, similar initial corrections were followed by sustained market uptrends, reflecting repeated historical behavior.

Pal's macro thesis is supported by the idea of liquidity multipliers, where even a small increase in money supply can lead to a large jump in token prices. This could trigger what Pal calls the "banana zone," a period of intense price acceleration that often catches investors off guard. Pal and his colleague, Jamie Coutts, identify July and August as the most likely window for this breakout. Key indicators they are watching include the ISM index, which tracks economic activity, and overall shifts in monetary policy. According to Pal, altcoin season is highly correlated with the ISM, and the data is starting to trend in the right direction.

Pal also highlights that market breadth is improving, meaning more assets are participating in the rally. In past cycles, this has often led to mid-tier altcoins outperforming Bitcoin. Pal's bold claim is backed by data, with liquidity rising, inflation stabilizing, and governments shifting toward more supportive monetary policies. This environment has historically been favorable for crypto, especially for coins that already have market presence and use cases.

Pal's analysis extends to the potential for sovereign nations to invest directly in blockchain infrastructure. He suggests that Bitcoin could be used as a reserve asset, while entire government systems are built on blockchain. This would push the crypto market cap from its current level to over $100 trillion in the coming years. For this to happen, Pal says, we need two key things: rate cuts and budget stability among governments. Once those fall into place, trillions of dollars from sovereign wealth funds could start flowing into the space.

Pal's forecast is not without its challenges. He warns that there are too many coins and not enough capital to support them all, so money will flow into tokens that have traction. XRP, with its strong brand and institutional ties, stands out as a potential beneficiary. Pal compares the current moment to the entry points in 2017 and 2020, which were followed by explosive gains. Bitcoin has already gone up significantly since then, and according to Pal, XRP could be one of the next major movers.

Pal's analysis is supported by the idea that the crypto market is driven by a simple equation: attention times capital. The projects that capture attention tend to attract more capital, and that creates momentum. While memecoins have thrived on attention alone, Pal believes XRP could benefit from both real-world utility and renewed investor interest during the next leg of the bull run. Pal suggests we’re still early in a longer macro cycle that could last until Q2 2026. If his forecast plays out, July and August will mark the beginning of a new altcoin supercycle, with XRP potentially being one of the biggest stories in this shift.