Jim Cramer Admits He Was Wrong with Premature Call to Sell Bitcoin

Submitted by Anonymous (not verified) on Fri, 11/24/2023 - 14:40

Coinspeaker
Jim Cramer Admits He Was Wrong with Premature Call to Sell Bitcoin

Market commentator Jim Cramer has implicitly acknowledged his earlier misjudgment regarding Bitcoin, stating that he was premature in advising investors to sell the cryptocurrency. On a November 22 segment of his CNBC Mad Money show, Cramer addressed a caller’s inquiry about purchasing shares in the Bitcoin miner CleanSpark.

He further suggests that those who have an interest in Bitcoin should consider expanding their exposure to it. During his show earlier this week, Cramer said:

“Look, if you like Bitcoin, buy Bitcoin. That has always been my view. And for a while, I liked it, and I decided that money had been made, but I was premature.”

Interestingly, Cramer also mentioned that while his previous predictions about Bitcoin may not have been flawless, he has still generated substantial profits from his investments in the cryptocurrency.

Inverse Jim Cramer Calls

Last year on December 5, 2022, when Bitcoin was trading at $17,150, Cramer advised investors to liquidate all their cryptocurrency holdings regardless of the cost. He further asserted that it was “never too late to sell an awful position.” Since then, the price of Bitcoin has surged by 118%, currently reaching $37,390.

Cramer’s predictions, coupled with his fluctuating relationship with the crypto market, have evolved into a popular meme within investment communities. Many highlight his knack for making inaccurate calls at crucial junctures.

In August 2022, a crypto trader claimed to have doubled the size of his portfolio by simply trading contrary to Cramer’s recommendations. Subsequently, on October 6, an investment fund filed for an “inverse Cramer ETF,” aiming to provide results on trades that are essentially the opposite of Cramer’s suggested investments, before factoring in fees and expenses.

Finally happened: Cramer ETFs

Inverse Cramer ETF $SJIM
Long Cramer ETF $LJIM
Eff Dec 19

20-25 equal-weighted stocks/ETFs based on Cramer's Twitter & TV recommendations and market views. Positions exited if Cramer has no view & once profit targets met.https://t.co/ZvA5G2zoTX pic.twitter.com/tY9yBMt15s

— ETF Hearsay by Henry Jim (@ETFhearsay) October 5, 2022

People have often called out Jim Cramer for failing to understand the Bitcoin price movements repeatedly. Last month in October itself, Cramer predicted a Bitcoin price plunge. However, the BTC price has gained over 10% since then.

Bitcoin Price Action

Amid the current development of Binanc’s $4.3 billion settlement, Bitcoin has shown strong selling pressure despite the downward selling pressure. At the same time, the Bitcoin derivatives market continues to show strength with traders eyeing $40,000.

Although the price gains have been limited to around the $38,000 level, the following pullbacks have been brief and shallow, indicating an ongoing demand for “buy-the-dip” opportunities during the consolidation phase. The price chart reveals an ascending triangle formation characterized by a horizontal upper resistance bound and an ascending lower bound from the shallow dips. In an email to CoinDesk, Alex Kuptsikevich, a senior market analyst at FxPro, said:

“Bitcoin bounces around in an ascending channel, hitting its three-week upper resistance of $37.8K on Wednesday evening. An intensifying sell-off thwarts attempts to heat the price, but the pullbacks have become less deep over the past three weeks, suggesting the building up of bullish sentiment.”