BlackRock CEO Larry Fink has warned that the United States may already be in a recession. Since April began, the S&P 500 has declined by 10.11 percent and now stands at $5,062.24.
Fink cautioned that markets could slide another 20 percent as fears over economic policy continue to rise. He linked the potential downturn to President Donald Trump’s tariff actions, which are impacting global trade.
Investors are growing more cautious amid uncertainty around inflation, interest rates, and fiscal decisions. Fink noted that rising tariffs could increase consumer prices and further inflationary pressure nationwide.
At the same time, the cryptocurrency market is flashing warning signs following a new technical formation. Bitcoin triggered a death cross pattern yesterday after the 50-day average dropped below the 200-day level.
The death cross is widely recognized as a bearish signal among traders and long-term market watchers. Since the start of April, Bitcoin has fallen by over 4.13 percent amid broader market stress.
On April 6, the coin saw a sharp single-day drop of nearly 6.10 percent in total value. That drop came just before the death cross pattern, deepening the negative outlook for digital assets.
After fake news about tariff delays, a brief rally occurred yesterday, but recovery efforts quickly lost strength. Bitcoin currently trades at $79,060, as bearish momentum weighs on investor sentiment heavily.
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Fed Rate Stance and Investor Caution Create an Unsettled Outlook Across Major Asset Classes
During his recent remarks, Fink dismissed speculation about the Federal Reserve cutting rates several times this year.The central bank held rates steady in March, maintaining its range between 4.25 and 4.50 percent.
Some market participants hoped for four to five cuts, but Fink called such expectations unrealistic for 2025. He warned that inflation, likely driven by tariffs, limits the Fed’s flexibility in easing monetary policy further.
Instead, he urged policymakers to implement growth-friendly reforms and reduce regulatory barriers in key sectors. Despite the market downturn, Fink said current price levels could offer entry points for long-term investors.
Michael Saylor shared a similar view, suggesting volatility tends to push short-term traders out of the market. His company, MicroStrategy, currently holds 528,185 BTC, with a total valuation of around $41.78 billion.
Meanwhile, by market capitalization, BlackRock’s iShares Bitcoin Trust ETF remains the largest spot in the Bitcoin ETF market. It now has a $44.82 billion market cap and trades at $44.27 with a turnover rate above 10 percent.
Conclusion
Market participants remain alert as economic uncertainty, technical signals, and policy risks shape the days ahead. All eyes are now on how traditional and digital markets respond to the mounting pressure and shifting sentiment.
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