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Alex Krüger, a widely followed economist, has expressed confidence in the continuation of the crypto bull cycle despite recent market volatility. In a recent post on X, Krüger noted that the bearish sentiment and significant long liquidations observed in the market indicate a potential reversal, suggesting a contrarian buying opportunity. He highlighted that altcoins had started to show signs of stability, while Bitcoin and Ethereum were the main assets under pressure during the recent downturn. Krüger emphasized that such divergence often signals an upcoming market recovery [1].

The economist also pointed to the broader macroeconomic context, noting that a Federal Reserve rate cut, which is not fully priced into current valuations, could further support a recovery in the market. He projected that the bull cycle would likely extend beyond 2025, with a potential major peak not occurring until 2026, contingent on changes in the Federal Reserve’s composition. Krüger dismissed concerns about a blow-off top in 2025, stating that the conditions for a major price surge are not present for most assets, with Solana being an exception due to its growing institutional adoption [1].

Krüger’s analysis underscores the importance of market sentiment and technical indicators in predicting the next phase of the bull run. He noted that the options market reflected fear-driven positioning, with put options trading at a premium to call options, indicating a risk-averse stance among investors. This skew, combined with ongoing liquidation cycles, suggests that the market remains in a consolidation phase rather than a structural breakdown. Krüger expects volatility to persist until the FOMC meeting, with the market likely to oscillate between long and short liquidations in the near term [1].

The economist also addressed broader concerns about the longevity of the bull cycle, arguing that the current market structure is more aligned with a "super cycle" characterized by smaller corrections and a slower upward trajectory. This view contrasts with those who believe the market is due for a major correction, with Krüger asserting that the market is not overbought and that the current sentiment is balanced, avoiding the extremes of mass euphoria or panic. His contrarian stance is rooted in the idea that the best time to buy is when sentiment is at its most bearish [1].

In addition to market dynamics, Krüger highlighted the role of macroeconomic factors in shaping the crypto landscape. He pointed to the Federal Reserve’s influence on global liquidity and noted that the central bank’s policy direction will likely dictate the next major trend in the market. The economist expects a 25 basis point rate cut, which he considers a non-surprising development, but he doubts it will serve as the catalyst for a blow-off top. Instead, he anticipates the bull cycle will continue in a more subdued form, with institutional adoption and regulatory clarity playing critical roles in sustaining price momentum [1].

Krüger’s views align with broader trends in the crypto space, particularly the growing institutional interest in Ethereum treasuries and the expansion of corporate strategies that include digital assets as part of their balance sheet management. Companies like BitMine Immersion Technologies and SharpLink Gaming have adopted Ethereum as a productive asset, generating yield through staking while also providing exposure to blockchain technology. These developments suggest that the narrative around crypto is shifting from speculative trading to long-term institutional integration, a shift that could further support the bull cycle as more traditional investors enter the space [2].

Source:

[1] Economist Alex Krüger Predicts Imminent Crypto Reversal Says Extremely Confident Bull Cycle End Not in Sight (https://dailyhodl.com/2025/09/01/economist-alex-kruger-predicts-imminent-crypto-reversal-says-extremely-confident-bull-cycle-end-not-in-sight/)

[2] What Is the Ethereum Treasury Strategy and Who Is Buying (https://www.coingecko.com/learn/what-are-ethereum-treasuries-how-they-work)