Revised Targets for Bitcoin and S&P 500 Indicate Economic Downturn

Bitcoin and S&P 500 Targets Revised by Economist Amid Recession Fears

The United States economy continues to be gripped by fears of a possible recession, which at one point triggered panic in the stock and cryptocurrency markets. Amid these concerns, economist Henrik Zeberg has asserted that a recession is inevitable, possibly hitting in the fourth quarter of 2024. In an X post on August 23, Zeberg revised his targets for key financial assets, signaling the approach of what he predicts will be a historic recession.

Stock and Bitcoin Price New Targets

• Zeberg forecasts the S&P 500 to reach a range between 6,100 and 6,300 points, a significant increase from his previous target of approximately 3,900 in December 2022.
• The Nasdaq target is adjusted to between 24,000 to 25,000 points, up from around 11,500.
• For the Dow Jones, expectations have risen to 45,000, compared to the previous target of 33,000.
• In the cryptocurrency space, Zeberg sees Bitcoin soaring to between $115,000 and $120,000, a dramatic rise from his December 2022 target of $16,500.

Worst Recession Ahead

Despite his optimistic market targets, Zeberg's latest analysis carries a stark warning: he predicted a severe recession, possibly the worst since the Great Depression of 1929. He elaborated that the upcoming bear market will unfold in two phases: a deflationary phase followed by a stagflationary period, anticipating a mid-way bounce due to Federal Reserve intervention in 2025.

Zeberg's revised targets suggest that investors may still see significant gains in the short term, especially in equities and cryptocurrencies. However, his warning of an impending recession serves as a cautionary note for those looking to capitalize on the bullish momentum.