As you stated,
> ****
More informally, you will often hear:
> **** or even **** around Kanto (therefore, in fiction as well).
It would probably be better to treat a common phrase like as a set phrase rather than breaking it down to understand it.
**_It simply means "I can't stand it anymore!" You are saying what is happening is ridiculous._**
> "I've never seen the verb- form converted to potential before."
Really? It is used quite often. We say things like:
[]{}[]{}"What a boring movie! I can't watch it anymore!"
[]{}[]{}[]{}"Weird tune! Can't be listening to it!"
[]{}"I can't be eating an awful pizza like this!"
Whether you use the present progressive in your translation or not would be up to you.