Bitcoin price drops over $4000, hours after Jim Cramer says it’ll live forever, but why?

January 04, 2024 03:58 AM AEDT | By Invezz

Bitcoin price drops over $4000, hours after Jim Cramer says it’ll live forever, but why? — Image source: Invezz

The Jim Cramer effect

And, sure enough… on January 3^rd, less than 20 hours after Cramer’s prediction, Bitcoin’s price fell more than ten percent, from $44,961 to under $40,850 in the space of just a few hours.

See more: Bitcoin starts 2024 off strong, reaching a new key milestone

Jim Cramer is legendary among stock traders for some of the most erroneous predictions in modern history. Here are just some of his greatest hits:

“Bear Sterns is fine. Don’t move your money” (In 2008 just before the onset of the global financial crisis)
“Hewlett Packard Enterprise is a sell” (In 2020 before the HP stock price climbed by over 100 percent)
“I’m waiting for Bitcoin’s price to reach $10,000” (In June 2021, when Bitcoin was valued at over $28,000 and was on its way to its ATH of $64,995 in November 2021)

Did Jim Cramer just kill Bitcoin?

Tempting as it may be to blame the ‘Mad Money’ host for this rather uncanny dip, there’s actually a more salient reason that all manner of cryptos (and yes, most of all Bitcoin) tanked today.

Respected asset management firm Matrixport released one of its regular ‘Matrix on Target’ market insights report today, titled ‘Why the SEC will REJECT Bitcoin Spot ETFs again’.

In the four hours following the Matrixport publication, nervous traders and investors initiated a selloff of BTC, which caused the crypto to drop a whopping $4,100.

Somewhat confusingly, Matrixport released another daily insight on the same day entitled ‘Bitcoin Spot ETF approval imminent, BTC to jump to $50,000’.

The post Bitcoin price drops over $4000, hours after Jim Cramer says it'll live forever, but why? appeared first on Invezz

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