Larry Fink, the CEO of BlackRock, just told the world he’s very bullish on Bitcoin.
In a CNBC interview on July 15, Fink pointed to increased price stability in Bitcoin, attributing the improvement to a significant reduction in leverage across the market. Bitcoin was trading between roughly $62,200 and $63,900 at the time of his comments.
The leverage washout thesis
Fink’s explanation for why Bitcoin feels calmer these days is refreshingly blunt. Too much leverage built up in the system, and the market needed to purge it.
“There was too much leverage… that’s why we had the washout.”
