Jim Cramer Bitcoin: What You Need to Know About the Mad Money Host's Crypto Moves
If you are a fan of CNBC's Mad Money, you may have heard of Jim Cramer, the former hedge fund manager and co-founder of Thestreet.com, a financial news and literacy website. Cramer is known for his outspoken opinions and advice on investing in stocks, but what about bitcoin? 🤔
In this article, we will explore how Cramer views bitcoin, how he invests in it, and what he expects from its future. We will also compare his views with those of other experts and influencers in the crypto space. 🚀
How does Cramer view bitcoin?
Cramer has been following bitcoin for a long time, but he was not always a believer. In fact, in October 2020, he said: “The whole investment case for crypto rests on the Greater Fool Theory.” He also compared bitcoin to gambling and said he would rather buy gold. 😲
However, his views changed after talking to some influential people in the crypto industry, such as Anthony Pompliano, the co-founder of Morgan Creek Digital Assets, and Michael Saylor, the CEO of Microstrategy, a software company that has amassed over 129,000 BTC on its balance sheet. 💯
Cramer was convinced by their arguments that bitcoin is a better store of value than gold or fiat currency, especially in times of inflation and currency debasement. He also learned about the scarcity and security of bitcoin, as well as its potential for growth and adoption. 🙌
As a result, Cramer bought his first bitcoin in mid-December 2020, when the price was around $17,000. He said: “I would never discourage you from buying crypto.” He also added: “I would prefer that you would do it in ethereum or bitcoin, which have the largest followings.” 🙏
How does Cramer invest in bitcoin?
Cramer treats bitcoin like a stock or a precious metal. He follows a simple strategy: buy low, sell high, and take profits along the way. He said: “I sold enough bitcoin yesterday to pay for my initial stake, which is what I would do if it's a stock. I take out my basis and then I let it run.” 🏃♂️
He also said: “I am regarding bitcoin as a precious stock.” He explained that he uses bitcoin as a hedge against inflation and currency devaluation, but he also expects it to appreciate over time. He said: “People don't believe in fiat currency anymore. People believe that the United States is printing money … But bitcoin is not printing bitcoin. So that's more valuable in the same way that gold is hard to find.” 💎
Cramer is not afraid to sell some of his bitcoin when he thinks the price is too high or too risky. For example, in June 2021, he said he sold almost all of his bitcoin because he feared China's crackdown on crypto mining and bitcoin's role in some ransomware attacks. He said: “Sold almost all of my bitcoin. Don't need it.” 😱
However, he also said he would buy back some bitcoin if the price drops below $20K. He said: “I think it goes to $12K … where it was before this whole fiasco began … I wonder what rabbit Michael Saylor can pull out of a hat with his Microstrategy gameplan.” 🐰
What does Cramer expect from bitcoin's future?
Cramer is optimistic about bitcoin's long-term prospects, but he also acknowledges its volatility and uncertainty. He said: “I'm a bitcoin believer … I think that you have to have that kind of insurance.” He also said: “I did not expect that insurance to make me so much money.” 💰
Cramer thinks that bitcoin has more room to Cramer thinks that bitcoin has more room to grow and attract more investors, especially those who are looking for alternatives to gold or fiat currency. He said: “The more people who give it [bitcoin] a higher price … the more likely it is that there will be more people come in.” 🚀
He also thinks that bitcoin can benefit from more institutional adoption and regulation, as long as it does not stifle innovation or competition. He said: “I think that there's a lot of money in bitcoin … I think that if you're a company, you want to have some exposure to it.” 🙋♂️
However, he also warns that bitcoin is not for everyone and that investors should do their own research and be prepared for the risks. He said: “Bitcoin is not a game. It is an investment that can go up or down … You have to be careful.” 😬
The Bottom Line
Jim Cramer is one of the most influential and controversial figures in the financial media. He has been following and investing in bitcoin for a while, and he has changed his views from being a skeptic to being a believer. 🙌
He treats bitcoin like a stock or a precious metal, and he uses it as a hedge against inflation and currency devaluation. He also expects it to appreciate over time, but he is not afraid to sell some of his bitcoin when he thinks the price is too high or too risky. 😎
He is optimistic about bitcoin's long-term prospects, but he also acknowledges its volatility and uncertainty. He thinks that bitcoin can benefit from more institutional adoption and regulation, but he also warns that bitcoin is not for everyone and that investors should do their own research and be prepared for the risks. 😱
If you want to learn more about Jim Cramer's views on bitcoin, you can watch his show Mad Money on CNBC or follow him on Twitter @jimcramer. You can also check out some of the sources we used for this article below. 👇
Sources
- Mad Money's Jim Cramer Expects Bitcoin to Fall to $12,000
- Mad Money's Jim Cramer Advises How to Invest in Bitcoin, When to Sell
- Jim Cramer says he sold some of his bitcoin and paid off a mortgage
- Cramer ‘sold almost all' of his bitcoin, fears China is over crypto
- Jim Cramer likes gold and crypto, says they serve different investment roles
I hope you enjoyed this article and found it helpful. If you have any questions or feedback, please let me know. Thank you for reading! 😊
