Marc Faber, publisher of the Gloom, Boom & Doom Report, said markets could see a sudden crash similar the one in 1987, when the Dow Jones Industrial Average fell about 23 percent in one day.

"[The market] will remain very volatile because interventions with fiscal and monetary policies, instead of lowering volatility they postpone it, and then it explodes," he said to CNBC. "The average stock in the U.S. is already down 26 percent from its 52-week high and there are a lot of stocks that are down 50 percent or more. The indices have hidden the weakness beneath the surface and basically the market has been weak the whole time."

Faber has been calling for a market decline since July, when he said stocks could fall as much as 40 percent, CNBC reported. The S&P 500 is down about 11 percent from its record high in May, exceeding the 10 percent threshold that counts as a correction.

"Markets all over the world are down meaningfully since 2011," Faber said. "The U.S. market has been holding up much better than other markets and now it's just adjusting to the reality, and the reality is we are almost in a recession."

Faber this month told MarketWatch that the stock-market downturn could result in the S&P 500 hitting lows not seen in five years.

"According to FactSet data, that would be 1,099.23, set that October [2011]. Faber referred to that outcome, a more-than-40% plunge in the broad stock-market benchmark, as his 'medium bearish' scenario. His most bearish prognostication envisages the S&P 500 falling back to its 2009 nadir, which FactSet data put at 676.53," MarketWatch reported.

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