In the 1970s Bloomfield played in local San Francisco Bay area clubs, including the Keystone Korner, and sat in with other bands. In 1977, Bloomfield was selected by Andy Warhol to do the soundtrack for the pop artist's last film, "Andy Warhol's Bad" (also known as BAD). An unreleased single, "Andy's Bad", was also produced for the project. During 1979–1981 he performed often with the King Perkoff Band, sometimes introducing them as the "Michael Bloomfield and Friends" outfit. Bloomfield recorded "Hustlin' Queen", written by John Isabeau and Perkoff in 1979. He toured Italy and Sweden with guitarist Woody Harris and cellist Maggie Edmondson in the summer of 1980. He sat in with Bob Dylan at San Francisco's Warfield Theatre on November 15, 1980. Bloomfield played on Dylan's "Like a Rolling Stone" and "The Groom's Still Waiting at the Altar". He continued to play live dates, and his performance at San Francisco State College on February 7, 1981, would be his final appearance.