Biggest Crypto Gains Come From Holding Through the Pain, According to Raoul Pal
The crypto market is bleeding again, but former hedge fund manager Raoul Pal doesn’t view chaos as a reason to retreat.
- Pal buys through crashes instead of waiting for a bottom.
- He sees the current sell-off as similar to past shakeouts that later reversed.
- Volatility doesn’t change his long-term bullish outlook.
He believes it’s exactly inside moments like this — when conviction evaporates and uncertainty dominates — that the foundation of the next rally is quietly built.
Crash Conditions Aren’t a Signal to Exit — They’re Data
Pal argues that extreme sell-offs reveal more about market behavior than bullish phases ever do. When liquidity disappears, risk assets are abandoned and prices swing violently, the natural instinct is to step back. For Pal, that instinct is the enemy.
Instead of searching for a perfect bottom, he steadily increases exposure through the decline, fully aware that his portfolio can experience brutal temporary losses. To him, the objective is not timing the turn — it’s staying exposed long enough to benefit from it when it arrives.
Today’s Panic Looks Familiar to Him
According to Pal, there is nothing unique about the current downturn. He sees the same hallmarks that defined previous phases of deep fear: rapid de-risking, forced selling and liquidity drying up so quickly that price discovery becomes distorted.
What changes between cycles is the crowd – not the pattern.
The Market Has Done This Before – Then Reversed With Force
Pal didn’t reference numbers to justify optimism — he referenced history.
He pointed to multiple crashes that looked catastrophic before the dust settled:
- The 2021 sell-off that halved Bitcoin and crushed Ethereum and Solana before all three rallied to record highs
- The COVID crash that wiped out more than 70% of Bitcoin in 2019–2020
- The relentless shakeouts across 2016–2017 that did nothing to derail the bull trend
Each time, the narrative was the same: “This time is different.” And each time, the reversal proved the opposite.
Altcoins Are Supposed to Hurt More
For Pal, the deeper losses in altcoins aren’t a shock — they’re exactly what history shows. Whenever the market purges leverage, Bitcoin falls first, and alternative cryptocurrencies collapse harder. He doesn’t consider that failure — he considers it typical for every acceleration phase that follows.
Pal also noted that in environments where rumors move price more than fundamentals, being glued to the charts can make decisions worse. Temporary detachment, he says, helps investors avoid misreading emotional noise as structural damage.
Volatility Doesn’t Invalidate the Macro Trend
The heart of Pal’s message isn’t “ignore losses” — it’s that losses in the middle of a bull cycle don’t rewrite the long-term trajectory. To him, the current phase reflects panic mechanics, not broken fundamentals.
His approach is simple: endure discomfort now to benefit from the asymmetry later.
In his own words: the market won’t reward the person who feels safest — it rewards the person who survives the part of the cycle that feels the worst.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
