S&P 500 correction before the global fall of the usa stock market.
Hey traders! I’m sure many of you have noticed that after the introduction of retaliatory tariffs, the markets started getting pretty choppy.
The S&P 500 took a serious dive.
• On the weekly chart, I’ve marked a support level + the 161.8% Fibonacci level, where we might see a bounce back to the $5680–$5800 range.
• But from there, I think we could see the start of a major crash—both in equities and crypto—that could last 1–2 years.
• Based on my estimates, the S&P 500 could drop back to 2020–2021 levels, a wide range of 2200–3000.
• For Bitcoin, we’re talking around $5000; for Ethereum, $100–$300; and for Solana, $2–$12.
3D Chart:
3W Chart:
Real-world events that could tank the stock market this hard:
Hey traders! I’m sure many of you have noticed that after the introduction of retaliatory tariffs, the markets started getting pretty choppy.
The S&P 500 took a serious dive.
• On the weekly chart, I’ve marked a support level + the 161.8% Fibonacci level, where we might see a bounce back to the $5680–$5800 range.
• But from there, I think we could see the start of a major crash—both in equities and crypto—that could last 1–2 years.
• Based on my estimates, the S&P 500 could drop back to 2020–2021 levels, a wide range of 2200–3000.
• For Bitcoin, we’re talking around $5000; for Ethereum, $100–$300; and for Solana, $2–$12.
3D Chart:
3W Chart:
Real-world events that could tank the stock market this hard:
- Global Recession: If major economies (US, China, EU) slide into a recession at the same time—think trade wars, rampant inflation, or a debt crisis—investors will dump risky assets like hot potatoes.
- Trade War Escalation: Harsher tariffs between the US and China/EU could wreck supply chains, crush corporate earnings, and spark a full-on market panic.
- Geopolitical Conflict: A big blow-up—like a full-scale war or crisis (say, Taiwan or the Middle East)—could send capital fleeing to safe havens (gold, bonds), while stocks and crypto get slaughtered.
- Collapse of a Major Financial Player: If a big bank or hedge fund goes bust (Lehman Brothers 2.0-style) due to an overheated market or bad debt, it could trigger a domino effect.
- Energy Crisis: A spike in oil/gas prices (from sanctions or conflicts, for example) could kneecap the economy and drag risk assets down with it.
- Market Bubble Burst: If the current rally turns out to be a massive bubble (and plenty of folks think it is), its pop could pull indexes down all on its own.
- Looming Wars: A potential Russia-Europe war starting as early as 2025, or an Iran-Israel conflict that drags in multiple nations, could destabilize global markets, spike energy prices, and send investors running for the exits.
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On #SP500 tested 227.0%, I think they will start to smoothly prepare a reversal on maximum negativity, other stocks and bitcoin will shed and turn around in sync with sp500 🤔.Trade closed manually
Closing the SP500 idea, as I see the likelihood of a correction has increased. Will wait for an entry point lower.Closed idea: $5,495.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.