Larry Fink, the CEO of BlackRock, recently expressed that the market may face an additional 20% drop, noting that the current downturn presents a significant opportunity for long-term investment since he believes there is no systemic risk.

• Key Points:
  • Fink emphasized the drawdown as a buying opportunity, mentioning that inflation remains unexpectedly high.
  • He predicts that the Federal Reserve will not lower interest rates this year, even with recession fears looming.
  • Fink raised alarms about Bitcoin’s increasing popularity, suggesting it could threaten the U.S. dollar’s status if people regard it as a more secure asset.

“I see it more as a buying opportunity than a selling opportunity, but that doesn’t mean we can’t go down further,” he stated in his address at the Economic Club of New York.

The markets, including cryptocurrency, have faced significant volatility since former President Donald Trump imposed new tariffs on imported goods. Currently, BTC has dropped about 5% within the last week and 11% over the past month, while major stocks like the S&P 500 and Nasdaq have also faced declines of 13% and 15%, respectively.