Cracks in private equity market could spill over to crypto, analyst warns

As BlackRock begins to limit redemptions for its $26 billion private equity fund amid a surge in requests, concerns are growing that instability in the global private equity market could spread to cryptocurrency, CoinDesk reported. Andreja Cobeljic, head of derivatives trading at the Swiss-based crypto bank Amina, warned that if redemption pressures force private credit funds to liquidate their positions, it could trigger widespread deleveraging across all asset classes. This, he noted, could have a ripple effect on cryptocurrencies like Bitcoin. Cobeljic added that risk assets such as crypto could face a secondary shock from disorderly liquidations in such a scenario.