Bitcoin’s short-term price action is still without bullish momentum, and according to macroeconomist Henrik Zeberg, the longer-term outlook may be deteriorating as well. Henrik Zeberg shared a strongly bearish assessment of the market’s current structure in a post on the social media platform X with the conclusion that Bitcoin is no longer behaving like an asset in a healthy expansion phase. Instead, he described Bitcoin as approaching an important peak, warning that the current structure carries an elevated risk of a sharp downside move once that peak is in place. Bitcoin’s Expanding Diagonal Points To Price Top Zeberg’s Bitcoin outlook is based on the expanding diagonal structure on Bitcoin’s monthly candlestick timeframe chart. This long-term pattern, which has been playing out since Bitcoin’s creation, shows increasing volatility, with the Bitcoin price making higher highs and lower lows with a widening range. Related Reading: People Are Not Ready For Bitcoin; Analyst Reveals What’s Coming Next According to the chart he shared, Bitcoin appears to be completing the final stages of this structure, and this is expected to be characterized by exhaustion. Zeberg labels the current zone as a topping area, where upside progress becomes increasingly unstable even if the price continues to increase. Interestingly, the chart projected a final surge as a blow-off top that could carry Bitcoin to the mid-$150,000 range. However, in this framework, that final push is not a sign of strength but a hallmark of late-cycle overconfidence. Expanding diagonals tend to resolve violently once the structure breaks, and Zeberg views the current setup as looking like where optimism peaked just before a reversal. From Euphoria To A Deep Crash Scenario Zeberg’s most controversial claims are in his projected downside targets. According to him, once the final euphoric rally plays out and Bitcoin reaches above $150,000, it could enter into a collapse on a scale that most Bitcoin investors currently consider unthinkable. Related Reading: Analyst Predicts When The Bitcoin Supercycle Will Actually Begin He compared the setup to the dot-com era, when the Nasdaq fell by more than 80%, and noted that Bitcoin has historically amplified both upside and downside moves. Based on that logic, he predicted a scenario where a broader AI and crypto bubble unwinds, leading to a Bitcoin price crash of about 97% or 98% from the eventual peak. This translates into a technical minimum target between $3,000 and $4,000, with the possibility of even deeper declines. Although the final rally may be dramatic, holding through the subsequent crash could be devastating for unprepared investors. Zeberg also highlighted momentum indicators that he believes support the bearish outlook. Bitcoin is showing what he describes as massive bearish divergence on the monthly timeframe. This is a situation where price continues to grind higher but momentum indicators such as the RSI fail to confirm those highs. Another indicator is the monthly MACD, which is also approaching, or already printing, a bearish crossover on the long-term chart. Featured image from Pixabay, chart from Tradingview.com
Renowned economist Henrik Zeberg has released a technical analysis of Dogwifhat (WIF) on X, forecasting a massive 2,500% price surge for the memecoin. According to Zeberg’s analysis, WIF is poised for a significant rally, potentially reaching $78, driven by a larger ABC pattern and a series of smaller subwaves. How Dogwifhat (WIF) Price Could Hit $78 Zeberg’s weekly WIF/USDT chart illustrates a large ABC corrective pattern, a fundamental structure in technical analysis that indicates a retracement phase within a broader bullish trend. This ABC pattern, according to Zeberg’s analysis, could eventually culminate at point C around $78. This target is based on the completion of the larger ABC structure, with the price reaching new highs once the correction phase concludes which he describes with the words “economy catches up with bull market.” Within this larger ABC structure, Zeberg also maps out a series of five smaller waves, which are part of the overall upward momentum in the market. These five waves align with the principles of Elliott Wave theory, a method used to predict price movements based on market psychology. In Zeberg’s chart, the five waves (labeled 1 through 5) represent the early stages of the price rally, with the first wave being the initial breakout, and the subsequent waves following through with increasingly higher price points. Related Reading: Dogwifhat (WIF) Shines With 15% Rally In The Past Week — Is $2.8 The Next Stop? The first wave drove the WIF price to a high of $3.04, followed by a correction in the second wave that brought it down to $2.00. With the correction now complete, Zeberg predicts that WIF could catapult to $6.59. For wave 4, Zeberg anticipates a dip to $4.59 before the memecoin takes off towards $15.24. The chart also highlights important Fibonacci retracement and extension levels, which Zeberg uses to project potential support and resistance zones as WIF progresses. The 2.618 Fibonacci extension level, positioned around $6.59, aligns with Zeberg’s immediate short-term target. Following this, higher extension levels at 3.618 and 4.618 ($11.96 and $21.69, respectively) suggest further upward momentum, which could take the price to the anticipated $78 target if the market continues to follow this trajectory. Related Reading: Dogwifhat (WIF) Prepares For A Bullish Breakout – Analyst Sets $3 Target Zeberg’s prediction for the near term includes a price movement towards $6.3 by the end of this week, followed by a brief pullback. From there, he expects WIF to climb towards $13-$15 by late November or early December. These intermediate price targets are key milestones in the larger cycle that will eventually lead to the projected price of $78, marked by the completion of the ABC pattern. Zeberg writes via X: “Could we see ~6.3 USD by end of week. Then pullback before move to ~13-15 USD by end of November – early December? If WIF manages these steps – well then ~78 USD is a probable target. I’m extremely BULLISH!!!!” At press time, dogwifhat traded at $3.079. Featured image from Shutterstock, chart from TradingView.com