BlackRock CEO: Economic slowdown could become a major catalyst for digital assets such as Bitcoin

ChainCatcher reports that Larry Fink, CEO of BlackRock, has issued a warning about a potential economic recession in the United States and warned that it may have already begun. In an interview with CNBC, Fink pointed out that escalating economic pressures and protectionist trade policies - especially tariffs during former President Trump's tenure - are key drivers behind what he sees as a slow contraction of the economy. While concerns about an economic recession usually unsettle traditional markets, cryptocurrency investors might have reason to cheer. An imminent economic slowdown could prompt the Federal Reserve to change its monetary tightening course, potentially triggering a new wave of liquidity. Analysts say this situation could be a major catalyst for digital assets like Bitcoin. Fink's comments follow similar predictions from major Wall Street institutions including JPMorgan Chase, Deutsche Bank and Goldman Sachs. Matt Hougan, Chief Investment Officer at Bitwise believes that dollar weakness could boost Bitcoin in the short term and possibly pave the way for BTC to gain traction as an alternative global reserve asset in the long run.