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JPMorgan and CNBC Jim Cramer Predict S&P 500 to Rally to New Highs, Bullish Bitcoin Trend to be Expected

JPMorgan predicts that equities could rally 47% from here, after its 40% rebound from its lows in March, hinting at a possible Bitcoin bull run. Strategists at JPMorgan recently suggested that Bitcoin successfully passed its “first stress test” during March’s global economic turmoil.

Bitcoin bull and CEO of an investment firm Dan Tapiero presented a note, quoting that JPMorgan analysts used equity position metrics to look at valuations of equities by checking the size of the bond and cash “universe.”

With the global economy deteriorating, the US has put a $2 trillion stimulus package in play with the belief that they can endlessly print more cash. The market jumped around 3% this week on the announcement that the Federal Reserve would buy corporate bonds to support the economy’s recovery from the coronavirus lockdown.

With the amount of cash in the system increasing due to central-bank buying, equities are yet to find itself in the spotlight. The report added:

“With some of the previous pockets of overextension clearing, we believe than an overall favorable equity positions backdrop will re-assert itself rejuvenating the equity bull market.”

JPMorgan analysts believe that there is “plenty of upside for equities over the medium to longer term.”

Tapiero suggested that this could be a signal for an upcoming bullish trend for Bitcoin price and gold, due to the fact that some excess cash in the investor’s reserves could go into gold and Bitcoin instead of its traditional counterparts, including equities.

CNBC host Jim Cramer analyzed a chart analysis from market strategist Carley Garner regarding the possibility for the S&P to break through its record high of 3,400 when the US recovers from the coronavirus pandemic. Cramer said:

Source: CNBC

“The chart suggests that new highs could be on the table. I think Garner makes a persuasive case, just don’t get too comfortable. If the S&P 500 really does surge to 3,400, up 9.1% from these levels, maybe take something off the table,” indicating the selling of stocks to protect the gains.

Bitcoin’s first stress test

JPMorgan has been known to be a Bitcoin critic, but recently changed its tone towards Bitcoin after strategists at the bank said Bitcoin rarely deviated from its intrinsic value or mining cost in the past few months.

Bitcoin price proved its resilience as it outperformed other traditional assets, including forex, equities, treasuries, and gold, according to JPMorgan. Bitcoin’s recovery was much faster than the other asset classes, seeing as traditional asset classes have yet to recover. The strategists added:

“That cryptocurrencies largely survived the stresses of March point to longevity as an asset class, but price action points to their continued use more as a vehicle for speculation than a medium of exchange or store of value.”

Bitcoin Could Follow S&P 500’s Potential Fall After Slight Bullish Trend from US Employment Report

Bitcoin showed signs of a slight bullish uptick in its first session in July and maintained a short-term positive correlation with the S&5 500.

Bitcoin price managed to climb a little bit higher on July 1, after mirroring the upside moves the S&P 500 made on the same day. The cryptocurrency rose 1.14 percent and the S&P 500 rose 0.5 percent.

Optimistic US economic data most likely resulted in the gains of Bitcoin and S&P 500, as the non-farm payroll sector added over 2.3 million jobs in June. According to the ADP National Employment Report, it mentioned that 70 percent of new employment opportunities came from industries that were previously worst hit by the coronavirus pandemic, including leisure, hospitality, trade, and construction.

This report showed a positive trend in recovery post-lockdown, possibly conveying that the US economy is back on track, improving intraday sentiment among stock investors. The positive outlook depicted in the report allowed the S&P 500, Dow Jones, and the Nasdaq Composite to surge higher.

Bitcoin and stocks investors are waiting for the next big decision that could drive a new rally—whether or not the Federal Reserve would expand its stimulus operation before it expires in July.

CNBC analyst Jim Cramer said that the S&P 500 could hit 3720 points, but he expects to see a further decline on average. The Mad Money host, Cramer added:

“If it can’t break through last week’s highs at 3,100. Boroden thinks you need to prepare for pain because the near future could get ugly.”

Chartist Carolyn Boroden predicted that the market was in rally mode in May. Jim Cramer pointed out that although the index is trading above its 50-day and 200-day moving averages, another indicator shows an upcoming bearish trend.

Bitcoin is trading at $9,215 at press time, and while Cramer is worried about the potential downside of the S&P 500, Bitcoin could see a risk crashing towards $7,000 if it does not break resistance at $9,276.

Bitcoin S&P 500 Correlation explained: The-stock-to-flow model

The creator of the stock-to-flow and stock-to-flow cross-asset said that there was a correlation between Bitcoin and the stock market and that they are both correlated and co-integrated. The correlating pair’s “R-squared” value at 95%.

The stock-to-flow model measures the abundance of a particular resource, while the ratio of stock to flow is the amount of resource held in reserves divided by the total amount it has been produced annually. The stock-to-flow model treats Bitcoin as a commodity, similar to gold, as stated by billionaire Paul Tudor Jones, the cryptocurrency reminds him of the role that gold played in the 1970s. He added that the world will soon “crave new safe assets.”

PlanB predicted that the Bitcoin price should be $18,000 at the moment, or the S&P 500 must crash, according to his tweets. While March has seen a series of surges in COVID-19 cases and lockdowns starting in many countries, Bitcoin fell along with stocks and recovered, and PlanB made the conclusion that the S&P 500’s level should correlate with the Bitcoin price of $18,000. However, that was not the case; meaning that the only alternative left was for the stock market to fall.

As the stock-to-flow model makes predictions based on the amount of new Bitcoins entering circulation against the existing supply; Bitcoin’s supply is immutable, which the model then theorizes that by the next time Bitcoin enters into halving, Bitcoin will be worth $288,000.

CNBC's Jim Cramer Changes Mind, Finally Buying Bitcoin

CNBC’s most famous stock market pundit Jim Cramer has joined the ever-growing list of high-profile Bitcoin investors. This significant move is made after Bitcoin investor and former Facebook team lead, Anthony Pompliano, convinced Cramer to buy Bitcoin.

Pompliano plans to release a new podcast episode on Monday, 14th September, to feature how he managed to convince Cramer.

Cramer is one of the most respected and recognized individuals in the financial media sector, hosting the famous “Mad Money” show on CNBC media company.

Bitcoin Investment Hopes Rise

Cramer’s relationship with the top cryptocurrency has been quite erratic. In the past three years, he has been sending mixed signals concerning Bitcoin. In June 2017, Cramer claimed that Bitcoin’s price could hit $1 million. But he has also been critical, calling Bitcoin an “outlaw currency”.

When Bitcoin was approaching its all-time high of $20,000 in December 2017, Cramer made a prediction that the launch of Bitcoin Futures by Chicago-based Cboe Global Markets Inc., would “annihilate” the largest cryptocurrency.

After Bitcoin fell below $6,000 in August 2018, Cramer said that the tide had turned against the cryptocurrency. He added, “I’m not saying its time has passed but there is a notion that the sun seems to be setting.”

In May 2019, Cramer responded to a Twitter follower who asked if he thinks it’s logical to have 40% of his wealth in Bitcoin and 60% in stocks. Cramer tweeted:

“Mad Money into Bitcoin? Hmmm.. not top of mind. but then again, it is YOUR mad money so you must do what you think is right.”

A Wall Street veteran, Cramer is now investing in Bitcoin.

Barstool Founder Portnoy Consults Winklevoss for Bitcoin

Bitcoin (BTC) has continued to rise in mainstream circles, undergoing inflation in pricing after Barstool’s Dave Portnoy consulted Gemini exchange founders and BTC billionaires, the Winklevoss twins, learned everything, and eventually invested in Bitcoin.

Raoul Pal, the founder of Real Vision and former head of Goldman Sach’s hedge fund sales business, recently stated that he has put a portion of his assets into Bitcoin as an inflation hedge.

Raoul Pal is joined by Bill Miller, Paul Tudor Jones, and several others as famous Wall Street bulls, which are bullish on Bitcoin.

Bitcoin as Portfolio Hedge Against Inflation

During inflationary times like the current difficult economic period, money flocks to the so-called safe-havens. Gold is the traditional haven asset used as a hedge against inflation. It has been around for several thousands of years and continues holding value to this current time. With historic amounts of monetary policy easing by major central banks sparking a significant increase in gold prices, investors seeking to cover themselves against inflation are also thinking of Bitcoin.

In the month of May this year, one of the world’s most successful investors, Paul Tudor Jones, announced that he was putting a small portion of his assets into Bitcoin as a hedge for inflation. However, he has not been alone as the list of investors betting on Bitcoin is beginning to look pretty impressive. On top of Tudor Jones, the list is expansive, including Mike Novogratz, Peter Thiel, Marc Lasry, Chamath Palihapitiya, Raoul Pal, and others.

CNBC Mad Money Host Jim Cramer From Skeptic to Bitcoin Bull

CNBC’s Mad Money host Jim Cramer thinks a major shift in safe-haven assets is on its way and believes Bitcoin and crypto will be the choice of the next generation.

Mega popular financial markets analyst for CNBC’s Mad Money—Jim Cramer appeared on a podcast with Anthony Pompliano to discuss the changing generational mindsets on storing wealth from traditional stored like gold and real estate to Bitcoin and cryptocurrency.

Appearing on Morgan Creek Digital co-founder Anthony Pompliano’s podcast on Sept 15, Cramer thinks that his own children won’t feel comfortable inheriting gold but “will feel comfortable with crypto.” Cramer admitted that maybe he was stuck in the past with some of his previous assessments and gold wealth storage leveraging.

Cramer said about upgrading from Gold to Bitcoin:

“I have to start recognizing that maybe I am using a typewriter.”

Cramer spent much of the Pomp Podcast probing host Pompliano about Bitcoin and cryptocurrency. As all market conversations have lately, the discussion soon turned to safe-haven assets and wealth storage measures to combat the current economic situation of the United States—which has continued to print trillion’s of dollars in stimulus and coronavirus relief, actions that are expected to ultimately debase the US dollar further.

Cramer who has been investing and analyzing markets since the 80s admits that Bitcoin and cryptocurrency were not in his “inflation handbook” and for his generation—gold, art, and real estate were the preferred stores of wealth. He said, “What we didn’t have in the menu, was crypto.”

Cramer believes with the current economic situation, when it comes to safe havens like gold, bitcoin, and crypto, “You have to have one or the other.” He added later, “We’re on a collision course […] it’s perfectly logical to add crypto to the menu.”

Since the announcement by Pompliano that he had convinced CNBC’s most famous stock market pundit Jim Cramer to join the ever-growing list of high-profile Bitcoin investors—Bitcoin has seen a slight rise in price, whether related to the news or not and currently sits at $10,740 at the time of writing, its highest price since crashing on September 3rd.

The Economic Bubble

Extreme conditions have a way of changing people.Chairman of Roger Holdings and prolific American investor Jim Rogers has also warned that the trillion-dollar bailout will lead to an economic meltdown and mainstream investors appear to be flocking to Bitcoin as a means of wealth storage.

Bitcoin’s scarcity has transformed the crypto asset into a reliable safe-haven asset, and it currently bears its strongest correlation to gold. Analysts like the Winklevoss Twins, Paul Tudor Jones and even George Ball now view BTC as a reliable hedge against debasing monetary policy and believe higher inflation will push the Bitcoin price higher.

Jim Cramer, who until recently was a staunch Bitcoin opponent said during the Pomp’s show that he would be allocating at least 1% of his wealth storage to crypto.

Crypto Bull Anthony Pompliano Reveals That 80% of His Wealth Is Bitcoin

It is no secret that Anthony Pompliano, the famous co-founder of Morgan Creek Digital, has long been bullish on Bitcoin.

Bullish on Bitcoin wealth

A Bitcoin philanthropist, Pompliano also hosts his own podcast show “the Pomp” where he discusses everything in the realm of finance, from business investments to cryptocurrencies. In an exclusive episode of his show, Pompliano answered his listeners’ questions and recently disclosed that 80% of his asset holdings were allocated to Bitcoin.

The rest of his wealth was divided into other assets such as cash, real estate, and start-up companies. In addition, since a lot of the venture capital companies are cryptocurrency-related, there are implications that Pompliano’s Bitcoin wealth may extend to more than 80%.

While thanking Pompliano for having answered his question regarding the Bitcoin bull’s alternative investments, Amazon consultant Paul Andersen disclosed:

“Pomp’s asset allocation: BTC – 80%; Real estate/cash/early-stage co’s: 20%. That Bitcoin allocation. Respect for putting your money where your mouth is.”

Per Pompliano’s exclusive podcast episode, the Bitcoin bull did not listen to Kevin O’Leary’s advice in 2019, where the Shark Tank guest speaker stated that he didn’t think the way to go for investments was to pour one’s funds into Bitcoin.

Not only has Pompliano dismissed this, but he has also been rumored to have increased his Bitcoin holdings. While he previously held 50% of his wealth in BTC, Pompliano now has increased that amount to 80%. According to a lot of market experts, Bitcoin is set to increase in value in the upcoming years, and Pompliano has made it clear on many occasions that he is bullish on Bitcoin. He explained why he thought Bitcoin was poised for a breakout, in comparison to the traditional safe-haven asset, gold, and said:

“Gold is the analog application of sound money principles & Bitcoin is the digital application of sound money principles. Gold has done incredibly well over last 20 years, but history shows digital version of something can be bigger, better, & more popular.”

Pompliano convinces Jim Cramer to adopt Bitcoin

Pompliano is not the only one who has been bullish about Bitcoin. According to the Morgan Creek Digital co-founder, he had also managed to onboard CNBC’s Jim Cramer to the mainstream cryptocurrency. Cramer, the host of the famous “Mad Money” show and an avid stocks investor, had disclosed that he had started investing in Bitcoin.

Pompliano is allegedly the one to have convinced Cramer. The seasoned Wall Street veteran admitted that previously, in his generation, the way to secure funds during economic inflation was through assets such as gold, art, and real estate. However, he has since added cryptocurrencies to his investments, and said during a Pomp podcast segment:

“It’s perfectly logical to add crypto to the menu.”

Bitcoin Convert Jim Cramer says Wall Street Ignoring COVID-19 Cases, Biden Election Fraud Dispute and Collapse in Stimulus Talks

CNBC’s Mad Money host and Bitcoin convert Jim Cramer thinks the recent gains in the stock market defy looming risky effects of rising COVID-19 cases, the halt to US stimulus negotiations, and the destabilizing effect of President Trump denying the legitimacy of Joe Biden’s election victory.

The stock market close on Wednesday on Wall Street saw a mix of trading with the Dow Jones Industrial Average slip while both the S&P 500 and Nasdaq Composite posted gains. Meanwhile Bitcoin (BTC), which has shown an increased macro decoupling from the stock market, continued to test the $16,000 resistance level recording a price high of $15,916 in the last 24 hours.

According to CNBC on Nov. 12, Jim Cramer thinks the stock market appears to be taking the looming uncertainties of the United States COVID economy and political unrest in its stride.

On the rise in US coronavirus infections, Cramer said:

“I think this market’s being very cavalier about the fact that we’re running at more than 130,000 new cases per day.”

On CNBC’s latest episode of Mad Money, Cramer warned investors that three dark clouds loom above the market—the destabilizing economic effect of Joe Biden’s contested election victory, the breakdown in stimulus negotiations and the rising number of COVID-19 cases.

The legendary Wall Street analyst said that while it is not a certainty, he believes that if the above outlined situations continue to develop it could be a very dark winter for the markets. The Mad Money host announced that the “Cramer Covid-19 Index is back in play”— the index is a list put together by Cramer of 100 stocks spanning more than a dozen sectors which highlight names that investors can expect to see a return both during and beyond the coronavirus-plagued market conditions.

On Nov. 10, the United States set a new record for COVID-19 cases on the seven-day average of daily positive tests, recording over 121,000 new cases. Cramer was critical of the government’s lack of initiative to close down public bars and restaurants.

Markets have been rising on the announcement of a coronavirus vaccine from Pfizer and BioNTech being 90 percent effective, but the rise in cases could still make for a brutal climate.

Cramer also commented on the dangers of the uncertainty surrounding the recent US election projected results, warning the markets could be in for a wild ride as President Donald Trump continues to challenge the legitimacy of Biden’s victory. He said, “From the stock market’s perspective, that’s a problem.”

Jim Cramer Finds Safe Haven in Bitcoin

Cramer’s relationship with the top cryptocurrency Bitcoin has been quite erratic. In the past three years, he has sent mixed signals concerning Bitcoin. In June 2017, Cramer claimed that Bitcoin’s price could hit $1 million. But he has also been critical, calling Bitcoin an “outlaw currency”.

In September 2020, Cramer appeared on the Pomp Podcast probing host Anthony Pompliano about Bitcoin and cryptocurrency. As all market conversations have lately, the discussion soon turned to safe-haven assets and wealth storage measures to combat the current COVID-19 economic situation of the United States—which has continued to print trillion’s of dollars in stimulus and coronavirus relief, actions that are expected to ultimately debase the US dollar further.

During the podcast, Cramer said that his own children won’t feel comfortable inheriting gold but “will feel comfortable with crypto.” Cramer admitted that maybe he was stuck in the past with some of his previous assessments and gold wealth storage leveraging. He said, “I have to start recognizing that maybe I am using a typewriter.”

Cramer added that he now believes with the current economic situation, when it comes to safe havens like gold, bitcoin, and crypto, “You have to have one or the other.” He added later, “We’re on a collision course […] it’s perfectly logical to add crypto to the menu.”

On the show, Cramer also revealed he would be allocating at least 1% of his wealth storage to Bitcoin.

Jim Cramer Says it is Still Not Too Late to Invest in Bitcoin as BTC Price Surges Toward $20,000

One of the things that are frequently being heard is the question, “is it too late to buy Bitcoin”? This question normally takes different forms such as “I wish I got into Bitcoin sooner.”

Bitcoin’s price has exploded recently, hitting above $19,000, taking its market capitalization to an all-time high. While investors are wondering whether it is too late to jump on the Bitcoin bandwagon, Jim Cramer, TV personality on CNBC’s Mad Money and long-time investor has addressed these questions. In his Twitter post On Nov. 24, Cramer stated that he thinks that it is not too late to invest in Bitcoin. He said:

“It is not too late for Bitcoin… great alternative to gold… Which I have always believed in.”

Although Cramer has long talked about cryptocurrencies as part of his famous “Mad Money” show on CNBC media outlets and his Twitter account, he previously had not been positive about crypto assets. He was a Bitcoin skeptic during the historic 2017 bull run. However, he recently changed the tune and now believes in the future of the leading cryptocurrency.

The Mad Money host turned bullish on cryptocurrency in an interview with Anthony Pompliano on Sept. 15 saying that he has realized that Bitcoin is a good hedge against inflation and further mentioned that his kids can understand the digital money. Cramer said in Pompliano’s podcast:

“My kids, when they get my inheritance, won’t feel comfortable with gold and will feel comfortable with crypto.”

Cramer thinks that a major shift in safe-haven assets is on its way and believes that Bitcoin and cryptocurrencies would be the next choice of the next generation. He sees a changing generational mindset on storing wealth from traditional stored like real estates and gold to Bitcoin and cryptocurrencies.

He admitted that maybe he was struck in the past with some of his previous assessments and gold wealth storage leveraging. He talked about upgrading from gold to Bitcoin.

Cramer is one of several prominent Wall Street bulls that have embraced Bitcoin as a safe haven asset. US billionaire Stanley Druckenmiller recently changed course on Bitcoin, stating that the cryptocurrency has the potential to store value for the future generation. Druckenmiller previously invested heavily in gold as a safe haven asset to protect himself from fiat exposures. However, he recently announced that he bought some Bitcoins and admitted that the returns are quite better than gold.

Jim Cramer Says Every Company Should Have Bitcoin on Their Balance Sheet

In an interview with CNBC’s “Squawk Box”, Jim Cramer shared advice on why businesses should purchase Bitcoin as a reserve asset rather than holding onto fiat currency.

The former hedge fund manager and host of “Mad Money” told investors that it would be a bad idea for companies not to get on board with Bitcoin, stating that it was “almost irresponsible” for companies now to own Bitcoin.

Cramer said: “As far as a way to be able to have a pastiche of things to do with your cash, I’m all for it. I think it’s almost irresponsible not to include it. Every treasurer should be going to boards of directors and saying should we put a small portion of our cash in Bitcoin?”

Cramer claimed that Bitcoin could be utilized as a hedge against inflation or an equity portfolio, stating, “It (Bitcoin) seems to be an interesting way to hedge against the rest of the environment, nice hedge against fiat currency.”

With one of the most important companies in the world, Tesla electric vehicle manufacturer, recently announcing its decision to buy Bitcoins, Cramer endorsed the idea of more companies joining the institutional wave of supporters backing Bitcoin with large-scale purchases.

Cramer admitted that he owns Bitcoin and believes that the cryptocurrency is a potential hedge against fiat currency.

Bitcoin as A Primary Treasury Reserve Asset

On February 8, Tesla Inc. made a purchase of Bitcoin worth $1.5 billion, a crucial announcement that led to the rise of the leading cryptocurrency by almost 20% in its price, thus setting a new all-time high above $47,000. MicroStrategy set the pace for institutional investors by becoming the first publicly traded firm to purchase Bitcoin as part of its capital allocation strategy, beginning with an initial purchase of $250 million in August 2020. The company revealed its plan to purchase Bitcoin as a way to protect against inflation. Since then, several major companies such as Square Inc. and Mass Mutual have converted part of their balance sheet to Bitcoin as a long-term capital allocation strategy that focuses on maximizing the value of their shareholders in the long run.

CNBC's Jim Cramer Sold Some of His Bitcoin to Pay Off A Home Mortgage

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Jim Cramer, the Mad Money host on CNBC media company, has revealed that he recently paid off a mortgage using profits generated from his Bitcoin investments. On Thursday, April 15, Cramer disclosed that he paid off his mortgage the day before by selling half of his Bitcoin investments.

Cramer stated on CNBC’s Squawk on the street: “From the chart, I may be the only natural seller, but it was so great to pay off a mortgage.”

He further added: “It was like, kind of, phony money paying for real money. I now own a house—lock, stock, and barrel—because I bought this currency. I think I won!”

He stated that he purchased a significant amount of Bitcoin when the price was at around $12,000. Yesterday on April 15, Bitcoin price was selling at $64,829.

Cramer appeared to suggest that he followed investment advice he normally gives to his viewers: “Trimming positions to take profits after seeing considerable gains.” He said that he had sold half of his Bitcoin holdings.

Cramer has been a vocal supporter of Bitcoin for a while now. In February, he talked about his motivation for owning Bitcoin describing the crypto as “an alternative to a cash position, where you make absolutely nothing.” He therefore mentioned that it would be “almost irresponsible” not to include Bitcoin in a portfolio.

Last month, Cramer stated that he made more money from his investments in Bitcoin than what has on gold.

Although Cramer did not specify exactly how much money he generated from his Bitcoin sales, in other interviews, he stated that he invested $500,000 in Bitcoin after he faced frustrations with gold. That could put his profits from yesterday’s sales at over $1 million.

Why Bitcoin Is A Good Thing

Bitcoin continues to gain more and more authority as more investors are allocating part of their cash into the cryptocurrency. Most prominent entrepreneurs have adopted the alternative store of value. Michael Saylor, the founder and CEO of MicroStrategy software firm, was the first ever institutional investor to bet on Bitcoin. Jack Dorsey’s Square became the second to invest in the crypto asset and among other investors, Tesla became the biggest.

Many investors together with Saylor are borrowing money at low-interest rates to purchase even more Bitcoins. The reason is that Bitcoin is a relatively safe bet.

Recently, Saylor hosted a seminar for institutional investors to help them understand the benefits of purchasing and holding onto Bitcoin when reflected in the current conditions of the economy. The economy is unstable and with inflation and decreasing buying power of fiat money, investors see Bitcoin as the solution.

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Jim Cramer Sold Most of His Bitcoin Holdings but Willing to Buy Again If Prices Fall to Near $10,000

Jim Cramer, The CNBC host, stated that he sold almost all of his Bitcoin holdings amid the crypto volatility. However, the TV host and former hedge fund manager said he would purchase Bitcoin again if it were really to the tank.

On Tuesday, Bitcoin experienced a rebound like a roller coaster, after plunging more than 9%, trading below $30,000 before retracing its level above the mark.

In an interview with CNBC’s “Squawk on the Street” on Tuesday, Cramer said that he would come back:

“I would go back in if I could get it at $10,000, $11,000, $12,000 — where I bought a lot”,

Cramer once revealed that he has “sold almost all of my Bitcoin on Monday.” He claimed that it was unnecessary to need virtual currencies.

The plunge was a continuation of recent selling off as China expanded its crackdown on cryptocurrency mining and urged financial institutions not to offer service to the industry.

The bitcoin price dropped, and Cramer stated that he would have expected the opposite, given China’s restrictions on crypto mining (the nation has historically led Bitcoin global mining efforts).

“When you limit mining, (the price) should obviously go up,” Cramer stated.

“I’m saying that this is not going up because of structural reasons,” Cramer said, referring to Bitcoin’s value.

One factor that influencing Crammer’s move was China’s toughening stance towards crypto assets, intensifying crackdown on crypto mining and ordering local banks and payment platforms not to offer services to crypto-related businesses.

He raised concerns about Bitcoin’s role in the Colonial Pipeline ransomware payment and other ransomware cases, which have a stark reminder of the unregulated nature of cryptocurrencies.

Cramer said. “I think the Justice Department and the FBI and the Federal Reserve and Treasury could coalesce and say, ‘OK guys, if you pay ransomware, we’re going to go after you.'”

The two government forces gave Cramer enough pause that he decided to offload most of his Bitcoin.

Taking Profits on Big Investing

Jim Cramer has been a Bitcoin advocate for quite some time. In February, he turned bullish on the Bitcoin balance sheet, stating that it’s almost irresponsible not to include Bitcoin on balance sheets following Tesla’s buy.

Also, he stated that he’d be open to being paid in Bitcoin instead of cash in the recent past. He previously disclosed that he invested $500,000 into Bitcoin after becoming frustrated with gold.

In April, he paid off a mortgage using profits from his investment in Bitcoin.

Last month, Cramer sold half of his Ethereum holdings to purchase an all-electric Hummer. He did not specify the amount he used to buy the Hummer Cramer, but the model starts at $100,000.

However, his recent sell-off does not mean that he is done with crypto investment. On the contrary, he is still in the game. Yesterday, Cramer said that he would be sitting on the sidelines to watch the performance of crypto prices.