BlackRock’s head of digital assets, Robbie Mitchnick, predicts that Bitcoin will perform well in a recessionary macro environment, going against some analysts’ beliefs. In an interview with Yahoo Finance on March 19, Mitchnick mentioned that a recession would significantly benefit Bitcoin, attributing this to increased fiscal spending, deficit accumulation, lower interest rates, and monetary stimulus typically seen in economic downturns. He highlighted that Bitcoin is also driven by concerns of general social disorder, which can escalate during recessions. Mitchnick emphasized that the market often misinterprets Bitcoin, viewing it as a risk-on asset like stocks and high-yield bonds. Despite this, BlackRock has been educating clients to understand the nuances of Bitcoin as an asset class. The executive noted that sophisticated long-term Bitcoin investors see market corrections as buying opportunities, unaffected by current economic challenges. On the other hand, researchers at Coinbase expressed less optimism due to recession fears and recent tariffs. They observed a shift in sentiment triggered by concerns of a US economic slowdown. BlackRock has been instrumental in institutional adoption through its iShares Bitcoin Trust ETF, which holds the most net assets among Bitcoin investment products. Mitchnick remains unfazed by recent net outflows in Bitcoin exchange-traded funds, explaining that these mainly stem from hedge fund activities rather than long-term investors. Bitcoin is currently priced at $86,000, reflecting a 3.8% increase in the last 24 hours.