Economist Predicts Horrendous Crypto Crash — But Says Traders Can Cash In First

Macroeconomist Henrik Zeberg has delivered a stark forecast: the cryptocurrency market is hurtling toward a horrendous crash, even as he suggests that savvy traders could profit from a final euphoric surge first. With market valuations ballooning, the timing of Zeberg’s warning invites both caution and opportunity.

Bubble Warning Amid Euphoric Rally

Zeberg describes the current market phase as “insane,” arguing that it resembles the final, frenzied rally stages that preceded previous crashes in 2017 and 2021. Moreover, his chart shows the crypto market potentially soaring to $12.95 trillion by late 2025 or early 2026. However, the rally may be short-lived, as a dramatic crash could follow nearly immediately. Zeberg warns that valuations could nosedive to a staggering $93 billion, wiping out nearly 99% of the market’s current value.

Technical and Historical Patterns Support the Warning

The economist also identifies a rising-wedge formation in the charts—a bearish technical indicator often seen at market tops. He believes we’re entering the “BlowOffTop” stage, a euphoric, final push before steep decline — a setup that often signals reversals. Furthermore, similar patterns triggered past crashes, strengthening the case for caution.

Opportunity Amid Collapse

Despite this grim outlook, Zeberg offers a silver lining: the final rally could be highly profitable. Indeed, he states, “This is where a lot of money can be made as Euphoria develops right into the top of the Business Cycle.” For well-positioned traders, the impending blow-off top might provide unusually lucrative opportunities — albeit with heightened risk.

Skepticism and Long-Term Bullish Notes

Not all market watchers agree with Zeberg’s timeline. A user on X, named doc_ley, questions whether the $12.95 trillion peak can actually materialize by 2025 or 2026 — eyeing potential slowdowns or macroeconomic disruptions like a U.S. recession.

Meanwhile, bullish sentiment persists among other analysts. For example:

• Benjamin Cowen calls the market’s current stage “pivotal,” suggesting a continuation of the bull cycle may still be underway.

• Nic Puckrin, founder of Coin Bureau, predicts Bitcoin might reach $150,000 by end-2025, assuming a Federal Reserve rate cut arrives in September.

Conclusion: Crash or Launchpad for Gains?

Zeberg’s warning is a sobering reminder of crypto’s cyclical volatility. However, his prediction isn’t all doom and gloom — traders who time the blow-off top could see major returns before the collapse. Yet, navigating such shifts demands disciplined risk management and clarity on exit strategies.

As the crypto market teeters between greedy highs and fearful lows, participants must weigh euphoria-fueled opportunity against the threat of a horrendous crash.

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