Crypto Bull Market May Extend to 2026, Warns Former Goldman Sachs Executive

Raoul Pal, a former Goldman Sachs executive and renowned macro guru, has predicted that the current crypto market cycle could extend into an unprecedented bull market. Speaking at the Sui (SUI) Basecamp event, Pal highlighted that despite a slower-than-expected rate-cutting cycle, the crypto markets are entering what he terms “The Banana Zone,” a phase characterized by rapid and parabolic growth.

Pal's analysis suggests that the crypto market cycle could peak during the first half of 2026. He emphasized the importance of caution and discipline during this period, advising investors to avoid leverage, secure their tokens, and refrain from impulsive decisions driven by fear of missing out (FOMO). Pal warned that a 35% drop in the market could occur, which might lead many to believe the bull market has ended. However, he asserted that this drop would not signal the end of the cycle.

According to Pal, the elongation of the business cycle and the prolonged higher interest rates indicate that the forward-looking liquidity suggests the market could extend into the first or second quarter of 2026. This timeline aligns with potential political events, which could further influence market dynamics.

Pal's predictions are based on a comprehensive analysis of macroeconomic evidence, technical indicators, and market sentiment. He urged investors to remain vigilant and prepared for the volatility that typically accompanies such market phases. By adhering to prudent investment strategies, Pal believes that investors can navigate the upcoming challenges and capitalize on the extended bull market.