The host of Crazy Funds, Jim Cramer, gave some suggestions on how to invest in Bitcoin and when it is appropriate to sell. He said: “I am a believer in Bitcoin”, outlining the reasons why he sells on cryptocurrencies and the reasons why people buy Bitcoin instead of gold.
Jim Cramer’s advice on investing in Bitcoin
Jim Cramer, the host of the CNBC Crazy Foundation, made some suggestions on investing in Bitcoin on Wednesday. The former hedge fund manager is also the co-founder of Thestreet.com (a financial news and literacy website).
“People no longer believe in fiat currency,” Kramer began. People think that the United States is printing money… But Bitcoin is not printing money. Therefore, it is more valuable as it is difficult to find gold. We found that gold is growing, up by about 1% over the previous year, and nothing more… this is related to scarcity. “
He emphasized that “there is no shortage of dollars” and “there is a shortage of some gold”, he said in contrast:
There is a complete lack of Bitcoin. When you have something completely scarce in an era when people are worried about inflation, don’t believe in government bonds, and don’t believe in government, this kind of Bitcoin suddenly becomes attractive.
The host of “Crazy Money” further stated: “The more people donate [bitcoin] The higher the price…the more likely it is to enter. “
Treat Bitcoin like a stock, when to make a profit
Kramer also shared: “Yesterday I sold enough Bitcoin to pay for my initial share. If this is a stock, I will do it. I take out my own basis and let it run.” He added Say: “I will not look at Bitcoin anymore. I am very good to Bitcoin until it returns to where I bought it, and then I reconfirm it, maybe buy it again.”
Kramer elaborated: “As I told people… If you have a double bonus, please spend more money. I doubled it, so I spent a lot of money. It is no different from my doubled stock , Except for this thing [bitcoin] Doubled when I was away, which is too fast for me. He confirmed: “So now I don’t have to worry. Money playing with the house. See what happens. “Detailed description:
I think Bitcoin is a precious stock.
Buy Bitcoin as insurance and compare Bitcoin with gold
Kramer sees Bitcoin and gold as insurance, such as insurance against inflation, as he explained earlier. When talking about these two assets, he said: “I think you must have this kind of insurance.” However, the host of “Crazy Money” pointed out: “I didn’t expect that insurance would bring me so much money. Generally, insurance is not Something to make money.”
A Twitter user asked him last week: “Are you surprised that the price of gold has not risen after this week? It seems that everything that is happening should be beneficial to gold.” Kramer replied: “Either the level of confusion there is not so great that Gold has not jumped, or all become cryptocurrencies. But remember, there is no opportunity to pursue quality (treasury bills).” In addition to saying: “I am a believer in gold,” Kramer said on Thestreet:
I am a believer in Bitcoin…I do feel that the current Bitcoin is doing what gold has done. The interesting thing is that gold is very scarce, but it didn’t get what they wanted because I think people are buying Bitcoin.
What do you think of Jim Cramer’s Bitcoin investment strategy? Let us know in the comments section below.
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