• Henrik Zeberg said that stocks are likely on their way up while the dollar index (DXY) is likely on its way down.
  • Last week, Zeberg predicted that Bitcoin would skyrocket this summer.

Macroeconomist Henrik Zeberg expects a massive blow-off top for equities in the coming months, saying recently that the stock market could likely head to one of the biggest crashes in history.

In a Twitter post on Saturday, Zeberg said that stocks are likely on their way up, while the dollar index (DXY) — which pits the USD against a basket of foreign currencies — is likely on its way down.

The macroeconomist also shared a chart that included his prediction for the iShares MSCI Emerging Index Fund, an exchange-traded fund (ETF) that aims to track an index of large and mid-cap emerging market equities. 

Zeberg tweeted that he sees the equities markets collapsing as the dollar index goes on a parabolic surge.

Last week, Zeberg predicted that Bitcoin BTC/USD-0.06% would skyrocket this summer as worries over an impending recession gradually fade. The macroeconomist said that a “blow-off top” scenario is unfolding for both stocks and crypto, caused mostly by a drop in fixed-income yields. 

Zeberg added that he believes that a significant decline in yields would drive a market rally while the economy would remain in a comfortable “Goldilocks zone.” 

Meanwhile, Morgan Stanley‘s Managing Director and Chief Currency Economist Stephen Jen told the Financial Times last week that the U.S. dollar has “suffered a stunning collapse as a reserve currency, which has seemingly quickened after Washington decided to wield its control over the dollar-based international financial system against Russia.”

Written by: Bibhu Pattnaik @Benzinga

 BullsNBears.com was founded to educate investors about the eight secular bear markets which have occurred in the US since 1802.  The site publishes bear market investing recommendations, strategies and articles by its analysts and unaffiliated third-party and qualified expert contributors.

No Solicitation or Investment Advice: The material contained in this article or report is for informational purposes only and is not a solicitation for any action to be taken based upon such material. The material is not to be construed as an offer or a recommendation to buy or sell a security nor is it to be construed as investment advice. Additionally, the material accessible through this article or report does not constitute a representation that the investments or the investable markets described herein are suitable or appropriate for any person or entity.