Crypto Market on Edge: Warning Signs of an Imminent Collapse

Henrik Zeberg, a well-known trader and analyst who runs The Zeberg Report, has reiterated his prediction of a major economic downturn, the worst since the 1929 Great Depression.

He has revised his timeline for this forecast, suggesting that the downturn could begin this October. Zeberg believes that the cryptocurrency market, along with some small-cap assets, will peak this October, leading to widespread market excitement.

Zeberg maintains that we are on the brink of a significant collapse in the Western economy, similar to the Great Depression. He expects some assets, including Bitcoin (BTC), to reach a “blow-off” top before this downturn begins. Based on Fibonacci analysis, he anticipates that Bitcoin could peak at around $120,000 in this cycle.

Zeberg has adjusted his predictions several times. Initially, he suggested watching for a market top by the end of 2023, then revised this to August 2024, and now expects it to occur by October.

His forecast is based on the Elliott wave theory, which outlines stock market phases and suggests that the end of the fifth phase could lead to a substantial decline, potentially reducing Bitcoin’s value by 60% to 80%.