Musk speculates that the global recession might last until the spring of 2024, dealing a severe blow to the outlook for risk assets. Elon Musk stated that Bitcoin (BTC) may use the time before its next block subsidy halving fighting the global economic downturn. The CEO of Tesla tweeted on October 21 that he believes the global slump would not end until Spring 2024.
With the release of Q3 GDP figures, the United States officially entered a recession, and there is ongoing discussion about how much worse the situation may go. Musk has long predicted that the U.S. economy will enter a recession, and he now believes that a worldwide recession will persist.
When asked on Twitter how long he believed a recession would endure, the world’s wealthiest person was evasive but went on the side of years instead of months. “Just an estimate, but likely till spring of ’24,” he said, adding, “it definitely would be wonderful to have an entire year without even a worldwide catastrophe.”
The most recent prognostication made by Musk looked extremely unpleasant to crypto analysts. The BTC/USD exchange rate fell below $19,000 on the day, according to statistics from Cointelegraph Markets Pro and TradingView.
Responses to Musk pondered the possibility that Bitcoin’s price performance may not move much until the subsequent halving. Current plans call for the reduction to happen on May 1, 2024.
The on-chain analytics site Material Indicators said, “If correct, 50% of Connecticut will be in a mental institution.” Locally, further study cautioned that “time is rapidly running out” to prevent a collapse of the Bitcoin daily chart. As per analyst Matthew Hyland, a daily close higher than $20,500 is now required.
“Bitcoin has continuously produced lower highs since June,” he said. “Therefore, the challenge is now on to create a higher high over $20.5k after retesting the $18k level.” “The clock is ticking”
This week, Hyland drew attention to relative strength index (RSI) behavior that may resemble Bitcoin’s previous halving cycle weak market in 2018.
