Mad Money host Jim Cramer has predicted that Bitcoin will drop to $12,000. However, he recommended bitcoin and ether to people who want to invest in cryptocurrency.
Jim Kramer’s Bitcoin Price Prediction
Jim Cramer, host of Mad Money, spoke about the future outlook for bitcoin on CNBC on Friday. Kramer is a former hedge fund manager who co-founded Thestreet.com, a financial news and literacy website.
He was asked if he thinks Bitcoin will bounce back from the current level, or if it will BTC It will drop another 50% or more.
Share his Bitcoin price prediction, he replied:
I think it goes to $12,000, where it was before this fiasco started.
“I think people involved in bitcoin should take a different stance,” the Mad Money host emphasized. “We need some guys to just say, ‘Look that’s the level. “This is typical of what happens when it’s really on the verge of collapse.” He emphasized, “They can’t let things go downhill anymore.”
Cramer on Margin Calls and Accurate Strategy
Cramer proceeded to talk about Microstrategy, the Nasdaq-listed software company that has aggregated 129218 BTC in its balance sheet. Its CEO, Michael Saylor, is a Bitcoin bull. He recently spoke on CNBC that Bitcoin is the best investment for his company and the time is right for it buy BTC at the current level.
Recently Microstrategy exposed Rumors that it is facing a margin call for a Silvergate Bank backed loan from Silvergate Bank and will need to liquidate some BTC. Saylor explained that the company has more bitcoins to pledge and other collateral to spread the loan.
However, Cramer said that if the lender changes the margin rates on cryptocurrency, Saylor will be “out in a second.”
Bitcoin plunged early Saturday morning, dropping below $20,000 for the first time since 2020. At the time of writing, BTC It is trading at $17,983, down 13% in the past 24 hours and nearly 40% over the past 7 days.
The Mad Money host tweeted on Saturday:
Bitcoin is down ten percent and you’re going to get some really bad margin calls over the weekend… Surprisingly no big institutions back this up.
In a follow-up tweet, he added, “I wonder what Rabbit Michael Saylor could pull out of the hat with his Microstrategy game plan. I wonder when he first raised the money if that’s on his mind.”
Earlier this month, Cramer offered some advice on investing in cryptocurrency. He admitted that he owns ethereum, adding: “I will never discourage you from buying cryptocurrency.” However, he said, “I prefer that you do it in Ethereum or Bitcoin, which have the most followers.”
In October last year, he said, “The issue of investing in cryptocurrency rests with Biggest lie theory. Microsoft co-founder Bill Gates He made a similar comment this week that the crypto is 100% based on the Big Lie theory, stressing that he doesn’t get involved in it.
Cramer is not the only one predicting a massive drop in the price of Bitcoin. Billionaire fund manager Jeff Gundlash He said this week that he wouldn’t be surprised at all if BTC It drops to $10,000. Rich Dad Poor Dad Author Robert Kiyosaki sign to BTC It can be up to 9 thousand dollars. Guggenheim Chief Investment Officer Scott Minerd He said last month that BTC It could be as low as $8,000.
What do you think of Jim Kramer’s predictions? Let us know in the comments section below.
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