'Recession would be a big catalyst for Bitcoin', believes BlackRock executive

• Bitcoin recession in the US.
• BlackRock predicts benefit.
• Cryptocurrency as a safe haven.

In a surprising statement, Robbie Mitchnick, head of digital assets at financial giant BlackRock, the world's largest asset manager, said in a interview recent Yahoo Finance report that a recession could be a catalyst to make the Bitcoin take off.

Mitchnick's analysis was based on factors that have historically boosted Bitcoin, such as increased fiscal spending, the accumulation of deficits, lower interest rates and monetary stimulus, measures often adopted in times of crisis. In addition, the BlackRock executive highlighted in his comments that the largest crypto asset could benefit from fears of social unrest, given that this type of sentiment tends to grow in recession scenarios.

“I don’t know if we’re going to have a recession or not, but a recession would be a huge catalyst for Bitcoin,” Mitchnick said in the interview.

Also on the occasion, Mitchnick highlighted his belief that, in the long term, Bitcoin, feared by many investors as being a high-risk asset, has the potential to become an uncorrelated asset or even inversely correlated with other risky assets.

“That’s where the opportunity for education comes in in a market and asset class that is still very nascent. If you look at Bitcoin fundamentally on a long-term basis, it really does look like an asset that should be uncorrelated or even inversely correlated against certain risk factors that exist,” the executive explained.

It is worth remembering that, yesterday Bitcoin started an upward movement, peaking around US$ 87.400 thousand amid positive news in the market. However, the asset did not sustain its movement and retracted to the current zone. At the time of publication, the price of Bitcoin was quoted at US$ 85.225,45 with an increase of 1.6% in the last 24 hours, equivalent to approximately R$ 487,267.88 BRL and € 76,158.55 EUR. In one week, BTC appreciated 2.5%.