Chapter 1: Introduction to Raoul Pal's Insights

Welcome to another episode of Crypto Big Stories! I recently stumbled upon an enlightening interview featuring Raoul Pal, a billionaire financial analyst and co-founder of Real Vision. In this discussion, Pal shared his thoughts on potential cryptocurrencies that might experience explosive growth, akin to the meteoric rise of Solana (SOL), Polygon (MATIC), and Terra Luna (LUNA) during the last market cycle.

The intriguing aspect of his predictions is that if the cryptocurrencies highlighted in this article perform as well as SOL, MATIC, LUNA, and other leading Layer-1 blockchains from the 2021 bull market, we could be celebrating significant gains by early 2025.

During the 2021 bull market, Solana’s price surged from $1.7 to over $259 from January to November. This means that a $5,000 investment in Solana could have transformed into over $700,000 within a year for those who held onto their investments.

Similarly, MATIC's price jumped from $0.033 to more than $2.87 from January to December 2021. An initial investment of $500 in Polygon (MATIC) in January 2021 could have yielded over $42,000 if sold before the market downturn.

Investing $1,000 in LUNA in January 2021 and selling it in December at $100 would have netted over $62,000. For those who missed the 2021 gains, Pal suggests there are promising opportunities in the altcoins listed below.

Raoul Pal mentioned:

"I don't really have a clue what’s going to be the next big one, but SUI seems to be in with a decent chance, the same with Aptos."

He anticipates that up-and-coming Layer-1 (L1) blockchains could see a significant bull run in Q4 and early 2025. However, I do have reservations about his choice of altcoins, which we will delve into shortly.

When asked about his optimism for new Layer-1 blockchains, Pal compared the Solana chart with other L1 blockchains and identified divergence signals that could indicate the upcoming trends for emerging L1 blockchains like Sui Network, Aptos, and Celestia.

His analysis suggests that investing in SUI today is akin to purchasing SOL for under $30 back in June 2021, indicating a potential for a 10x return in this bull run.

A comparison of SUI's market cap with Solana's all-time high suggests a possible return of over 44x on investment. However, there are concerns that crypto venture capitalists (VCs) are heavily involved with SUI, as discussed in a previous article.

A few months ago, I highlighted an article by Coinsider that raised red flags about cryptocurrencies heavily backed by VCs, warning that such investments could lead to significant losses, much like what happened with Terra Luna in 2022. He specifically cautioned against investing in SUI, APT, FLIP, TIA, DYM, and other VC-backed projects.

It's worth noting that three of the projects (SUI, APT, and TIA) that Raoul Pal has identified as potential next-gen L1 blockchains are indeed VC-backed, leading me to ponder whether Pal himself might be among the VCs supporting these initiatives. This is merely speculation, but it raises questions worth considering.

Chapter 2: The Case for Emerging Layer-1 Blockchains

Pal elaborates on two cryptocurrency ecosystems that he believes could emerge as the next significant Layer 1 contenders. He posits that those utilizing the Move programming language and those based on the Cosmos SDK could experience substantial growth in Q4 or Q1 2025. His picks for this category include Aptos (which uses Move) and Celestia (which utilizes the Cosmos SDK).

Furthermore, Raoul Pal discussed the role of meme coins in the cryptocurrency ecosystem, despite the likelihood that many will eventually lose value. He mentioned holding BONK and WIF, as well as DOGE, due to his belief that Elon Musk may have future plans for it.

I speculate that Musk could potentially accept Dogecoin as a payment method at his companies, making it worthwhile to consider acquiring some DOGE while it remains in an accumulation phase.

After weighing the perspectives of both Coinsider and Raoul Pal, I find myself torn regarding these cryptocurrency projects. Should I heed Coinsider’s warnings and steer clear of these VC-backed cryptocurrencies? Or should I follow the advice of a billionaire and respected financial analyst like Raoul Pal?

What are your thoughts? I invite you to share your opinions in the comments section below.

Finally, if you're interested in joining a vibrant crypto community where I provide insightful analyses, market insights, and knowledge from industry leaders, click here to subscribe to the "Crypto Big Stories Newsletter." I look forward to connecting with you there!

The first video features Raoul Pal discussing the exponential age and its implications for AI, crypto, and more.

In the second video, Raoul Pal addresses the narratives that aren't being discussed in mainstream media.