Mad Money Jim Cramer thinks that the Fed will get rid of assets like Bitcoin that are based on speculation. Cramer has done one of his famous 180-degree turns. This time, it’s about how he feels about Bitcoin. He also said that Bitcoin and other digital currencies were risky investments and told people not to buy them.
In recent years, Cramer has taken a rather controversial stance on the cryptocurrency business. He was adamant about getting paid in bitcoin in 2021. But after the big price drop, he gave up on those plans and sold almost all of his BTC holdings.
Don’t Get Crypted
Jim Cramer, the host of “Mad Money” on CNBC, had another change of heart and told investors not to add cryptocurrencies to their portfolios. He said that the US Federal Reserve wants to get rid of speculative assets and that digital currencies fit the bill:
“Look, Fed chief Jay Powell told us we need to stop spending our money on stupid things… We just have to get through it without getting hurt. Don’t get memed. Don’t get SPAC’d. Don’t let it happen. And once you get through this mess, you’ll be in a much better place when we’re oversold enough for a big bounce.”
Money Mad Jim Cramer thinks that the Fed will take down speculative assets like Bitcoin and alt-coins, but should we trust a man who is often wrong?
The CEO of Bitfury, Brian Brooks, talked about the Fed and how their plan to fight inflation hurts Bitcoin earlier this week:
“We’ve talked about the idea that bitcoin can be used to protect against inflation. The more the market expects the Fed to have tough policies, the more people think the Fed will keep an aggressive stance, which would hurt Bitcoin.
What Did He Think Before?
It seems likely that Cramer is one of those people who often changes their mind about the business of digital assets, mostly because of the prices at the time.
When the price of bitcoin dropped below $4,000 in 2018, he called it “outlaw money.” But last spring, the asset’s value went up to $65,000, and he decided to put his paycheck in it.
After China’s crackdown on crypto, the market for crypto fell by a lot, and Cramer did another about-face and said he sold almost all of his BTC. In October, Cramer said that getting into the cryptocurrency business was “just gambling.” He then said that the sector was a good example of the “greater fool theory.”
In June, he went against what he had said before and said that Bitcoin and Ether had caught the public’s attention and “seem to be the most real.” So, he told investors that they should only deal with these two and never borrow money to get into the market.