Recently, many people feel that a bull market is coming, but BlackRock is selling cryptocurrencies while proclaiming an economic recession and being optimistic about Bitcoin; isn't this contradictory? It's not...
First, let's clarify that Bitcoin does not have the safe-haven attribute. If you compare Bitcoin with the daily charts of US stocks, you might not dare to say it's 100%, but at least 99%. So buying Bitcoin is almost like buying the Nasdaq, and possibly even riskier. Now, what will happen next?
1. The US recession is a foregone conclusion, resulting in a sharp decline in US stocks and cryptocurrencies alike.
2. The selling of US Treasuries, similarly, raising the government debt ceiling also requires selling US Treasuries, so under liquidity tightening, US stocks decline, and cryptocurrencies do as well.
3. Black swan events, such as interest rate hikes in Japan, and the bombing of nuclear facilities in the US and Iran, these are all examples.
After the Great Recession, the premise is that interest rates are lowered after a significant crash... Of course, there's also the uncertainty brought by Trump, which is even worse... This is the reason why BlackRock is shouting 'bull market' while selling cryptocurrencies; they believe the worst is not over, and they feel the need to sell now while there are buyers.
