both! It can expose weaknesses in your game, especially openings, by showing you obvious reasons not to choose certain lines. It can also help you develop your tactical skills by making basic tactics second nature.
The down side is that the more blitz you play, the more your brain gets used to chess at that speed, which will naturally make you more impatient and error-prone in slower games.
I've heard arguments for both sides. Is blitz chess a good way to improve, or does it create bad habits?