The Crypto Market Is About To Enter Its Most Explosive Phase

Raoul Pal, CEO of Real Vision, announces an explosive new phase in the altcoin market that he calls “banana singularity,” characterized by a widespread increase in prices. This prediction comes as bitcoin consolidates around $93,000 after surpassing $100,000 in early January.

The “banana zone,” the first step of a historic crypto bull cycle

On January 10, 2024, Raoul Pal shared his analysis on social media platform X, confirming that the crypto market is currently in what he calls the “banana zone.” This phase, initiated by the breakout of prices in November 2024, shows striking similarities to the bull cycle of 2016-2017.

The total market capitalization of crypto reflects this dynamic, having surged by 90% in one year to reach $3.4 trillion, after hitting a new all-time high of $3.9 trillion in December 2024.

The phenomenon is particularly explained by the increase in the global M2 money supply, as Pal points out by referencing comparative charts. This correlation suggests a continuation of the bullish trend, despite recent corrections that have brought bitcoin back around $92,000.

A “historic altseason” on the horizon

The next stage of this cycle, dubbed “banana singularity” by Raoul Pal, is expected to be characterized by a widespread explosion of alternative cryptos (altcoins). DeFi researcher 0xNobler shares this optimistic vision, predicting a rise in bitcoin to $500,000, which would trigger “the largest altcoin season in history.”

This perspective is based on the analysis of bitcoin dominance, currently stable at 58%. Historically, a decline in this indicator signals the start of a favorable period for altcoins. Therefore, the current consolidation of the market, comparable to that seen in 2016-2017, could precede a phase of massive expansion.

Recent events, including political developments in the United States and the increase in global liquidity, continue to support this bullish trajectory. Despite short-term volatility, the fundamentals of the crypto market have never been stronger, indicating a new era of explosive growth for the entire ecosystem.