The world could be stuck in a recession until the spring of 2024, Musk estimates in a further blow to the outlook for risk assets.
Bitcoin
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you can pass the time until your next global grant fighting the recession, Elon Musk suggested.
In an Oct. 21 tweet, the Tesla CEO revealed his belief that the world won’t come out of recession until the spring of 2024.
Musk: The recession will “likely” last until the second quarter of 2024
After the US entered a technical recession with the third quarter GDP data, the debate continues on how much worse the scenario could get.
For Musk, while he had long predicted that the US economy would enter a recession, the probability of a global recession is now real.
When asked on Twitter how long he thought the recession would last, the world’s richest man did not commit, but he was wrong on the side of years instead of months.
“Just guessed, but probably until spring 24,” he wrote, after saying that “it sure would be nice to have a year without a terrible global event.”
Musk’s latest prediction seems particularly painful for cryptocurrency commentators.
Still sensitive to macro market moves, BTC/USD dipped below $19,000 on the day, data from Cointelegraph Markets Pro and TradingView showed.
Reactions to Musk have digested the idea that he will take until the next Bitcoin halving to see price performance as a significant trend reversal. The halving is currently scheduled for May 1, 2024.
“If true, half of CT will be in a madhouse,” commented On-Chain Analysis Resource Material Indicators.
BTC/USD 1 hour candle (bit stamp). Source: TradingView
The daily chart faces the decisive moment
Closer to home, more research has warned that “time is running out” to save Bitcoin’s daily chart from a crash.
Related: New Loyalty Report Highlights ‘Strong Contrast’ Between Bitcoin and Fiat Currencies
According to commentator Matthew Hyland, a daily close above $20,500 is now a necessary step.
“Bitcoin has consistently made lower highs since June,” he summed it up:
“Needless to say, there is now pressure to make a higher top above $20,500 after retesting the $18,000 region. Time is running out.”
BTC/USD annotated chart. Source: Matthew Hyland / Twitter
Earlier this week, Hyland pointed to relative strength index (RSI) behavior potentially replicating the final stages of the last bear market of Bitcoin’s halving cycle in 2018.
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