Bitcoin remains consolidated around $80,000, awaiting a new catalyst following the White House Crypto Summit's failure to spark interest. BlackRock's expert offers a different perspective on potential stimulants.
Bitcoin Consolidation: Disappointment Post-Summit
After the recent White House Crypto Summit failed to inspire a rally for Bitcoin and altcoins, the leading cryptocurrency has been stagnating around the $80,000 mark.
BlackRock's Opinion on Recession Impact
Robbie Mitchnick from BlackRock claimed that contrary to expectations, a possible recession could serve as a significant catalyst for Bitcoin. He emphasized that Bitcoin's fundamentals are uncorrelated or even inversely correlated with risk factors, suggesting that recessions can drive investors to Bitcoin as a hedge against inflation and currency devaluation.
Bitcoin's Future According to Experts
Mitchnick also highlighted that institutional adoption of Bitcoin has not yet been priced in and remained optimistic about Bitcoin's future. As traditional markets face instability, investors seek alternative stores of value, increasingly turning to riskier assets like Bitcoin.
Economic downturns could shift the perception of Bitcoin as a safe-haven asset, making it attractive under rising global market uncertainties.
