Rick Rieder, the Chief Investment Officer of investment management firm BlackRock, has said investors should not focus on the current crypto market meltdown but look at the long-term prospects.
Speaking during an interview with Yahoo Finance on June 16, Rieder noted that the influx of cash around Bitcoin and the crypto market might have been the main undoing but maintained that the assets have a future in the financial future.
“You are seeing a lot of the leverage that was built up around crypto come unglued quickly. I still think Bitcoin and crypto are durable assets. It’s a durable business, but there was so much excess built around it in cash,” he said.
Bitcoin might overshoot
Notably, Bitcoin has plunged in recent months, trying to navigate the crypto market characterized with a high inflation environment and increasing interest rates.
Currently, the asset is struggling to sustain its gains above $20,000. By press time, Bitcoinwas trading at $21,150, a drop of almost 1% in the last 24 hours.
Baltrusaitis, J. (2022, June 17). Blackrock’s R. Rieder admits bitcoin is ‘a durable asset’ despite meltdown. Finbold. Retrieved June 22, 2022, from https://finbold.com/blackrocks-r-rieder-admits-bitcoin-is-a-durable-asset-despite-meltdown/