This time, Henrik Seberg, one of the market's most popular macro analysts, argues that the current suffering is just an emotional reset before the ultimate euphoric surge.
Zeberg's paper
Zeberg argues that the current state of Bitcoin, Ethereum, and the entire crypto market is a classic second-wave capitulation in an ongoing bullish cycle. According to Elliott Wave Theory, this stage, following a major correction wave B, is usually the time when sentiment is at its lowest, and is exactly when investors tend to give up just before a parabolic rally.
Zeberg said, “Surrender is not an end, but an emotional reset that precedes the final act. In a bull market, this is where we should feel the worst.”
This interpretation is reflected in Bitcoin's current technical structure. After a brief rejection from $114,000, the asset is currently trading around $108,000, exactly in line with its 200-day moving average (black line). Fear and fatigue are indicated by RSI values near 40, but structural collapse has not yet occurred. Historically, the pre-rally accumulation phase has been characterized by such conditions.
Seberg believes the next phase, waves 3(4) to 5, will produce the most explosive moves yet, as the market is flooded with new liquidity and risk appetite. He believes that Ethereum will follow vertically, perhaps hitting $6,000, $7,500, $10,000, or even $12,000 as the cycle peaks, while Bitcoin will rise well above $160,000.
Seberg warns that this will be the final stage of the everything bubble, a parabolic peak that precedes a major deflationary easing. “Market sentiment will say the opposite on the upside,” he continued, suggesting that euphoria will obscure warning indicators.
For now, the correction will clear the market, eliminate weak hands, and reposition it for the strongest rally at the end of this macro cycle. Seberg is clear that the bull market remains strong.
