Steve Hanke, Professor of Applied Economics at John Hopkins University, discussed a range of topics, including the United States’ inflating downturn, overall economic trajectory, and potential recession risk in a YouTube interview held on June 30th. He issued a warning about a possible recession. During this talk on June 30th, Hanke indicated that the current trajectory of money supply points to an impending slump, and warned of a potential recession as early as the first quarter of 2024.
US Economist Forecasts Early Recession, Citing Monetary Trends
“We are in this 6 to 18-month period where we’re starting to see the emergence of economic weakness, and therefore, I think we’re going to see a recession in the first quarter of next year,” he stated.
Hanke, who warned of a possible recession in the first quarter of 2024, also voiced similar concerns in 2022 and drew attention to the recession risk.
How Will The Crypto Market Be Affected?
Numerous economists have highlighted the recession risk during this period, suggesting that we might be entering a time when risky investments, especially cryptocurrencies, may exhibit lower price performance. They emphasized that the Federal Reserve’s interest decisions in the coming months are critical and could largely dictate the direction of the markets.
Indeed, Steve Hanke, who criticized Bitcoin in past public statements and described the leading cryptocurrency as an “overpriced” asset, had also stated that Bitcoin is a speculative investment.
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