The crypto market wavered on Thursday as concerns about recession rose after Donald Trump announced new auto tariffs. These tariffs came ahead of April 2, his Liberation Day when he will implement reciprocal tariffs. This article provides BTC, ETH, and SHIB price predictions after a popular economist warned of a recession.
Moody’s Economist Warns of a US Recession
Mark Zandi, a popular economist at Moody’s warned that the US was careening towards a recession. He said this after the US Conference Board published a report showing that consumer confidence crashed this month and is down by 17 points in the last three months.
Zandi’s favorite recession indicator happens when the consumer confidence figure falls by 20 points within a three-month period. This happens because consumers, the engine that drives the US economy, stops spending money. Zandi noted that his recession indicator was flashing a bright yellow and could soon turn red.
Mark Zandi Recession Forecast
The main catalyst for a recession is Donald Trump’s auto tariffs, that will charge imports a 25% levy. He will then reveal his reciprocal tariffs on Tuesday, which he has enthusiastically named his Liberation Day.
A recession would be a bad thing for the UK economy, but a good one for risky assets like BTC, ETH, and SHIB prices. That’s because the crypto market would react positively to Fed actions to contain it. The Fed has reacted to the past recent recessions by cutting rates and quantitative easing.
SHIB Price Prediction: Technical Analysis
The weekly chart shows that the Shiba Inu price has collapsed after soaring to $0.000035 in November. It dropped to a low of $0.00001125 this month. This was a crucial level since it coincided with the ascending trendline linking the lowest swings since March 2021.
The SHIB price has formed a rising broadening wedge pattern, commonly known as a megaphone. This pattern is usually bullish, meaning it may rebound in the next few weeks. If this happens, the next target will be at $0.000025, up by 65% from the current level.
A drop below the ascending trendline will invalidate the bullish Shiba Inu price prediction, and point to more downside to $0.000070.
SHIB Price Predictions
BTC Price Technical Analysis
Bitcoin is usually the main driver for the crypto market, which explains why its recent rebound has pushed more coins higher. The risk, however, is that the BTC price has formed a rising wedge pattern and retouched the neckline of the double-top pattern. These are two risky patterns that point to a reversal soon. BTC has also resisted moving above $90,000.
If this happens, the most likely Bitcoin price prediction is where it drops to the year-to-date low of $76,890. The bearish outlook will become invalid if the coin rises above $95,000.
BTC Price Chart
ETH Price Technical Analysis
Ethereum price faces two technical risks. It formed a triple-top pattern at $4,000, and has now crashed below its neckline at $2,120. It has now formed a bearish flag pattern, comprising a tall vertical line and a rectangle pattern.
ETH Price Chart
That is a sign that the Ethereum price will crash in the coming days. If this happens, it may crash to the support at $1,746, the YTD low. A move above the psychological point at $2,500 will cancel the bullish ETH price prediction.
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