The Jim Cramer price momentum curse has hit again, this time in favor of Bitcoin. The CNBC analyst told his viewers three weeks ago that he planned on selling his Bitcoin. At the time, the cryptocurrency’s price had sunk to sub-$63,000, with few signs of momentum. However, the asset has now swung back towards the $77,000 range for the first time in months, and Cramer is biting his words from less than a month ago.
While Cramer never confirmed that he did sell his BTC holdings, his claim was enough to keep his notorious jinx alive, and BTC is back rallying again. As a result, the analyst reversed his stance on Bitcoin once again, telling viewers to buy the cryptocurrency directly rather than through related stocks. On Thursday, Cramer fielded a question from a viewer about Bitmine (BMNR), a corporate accumulator of Ethereum (ETH). Instead of endorsing the stock, Cramer advised the viewer to buy Bitcoin directly, suggesting that indirect exposure through crypto-related equities might not be the best approach.
Despite Bitcoin’s recent surge, the cryptocurrency is down 11% year to date and 32% over the past year, making this a bounce inside a larger decline. BTC briefly reclaimed the $79,000 price level this week, but has since dipped to the $77,900 mark. CoinGecko data shows that BTC has rallied 8.8% in the last 24 hours and nearly 24% in the last week. In fact, Bitcoin (BTC) has outperformed the US stock market by a huge margin within just a few days. As crypto has returned to the regulatory spotlight, leading coins and crypto-related stocks are also rallying.
US crypto stocks over the past 48 hours: Also Read: SanDisk Stock Reaches $1,600: Bernstein Gives New Price Target
Jim Cramer’s latest Bitcoin advice marks yet another twist in his often-contradictory public statements on cryptocurrency. He often tends to sway in the same direction of opinion as where the market is moving. However, beyond his opinion and jinx, BTC is showing strong momentum to end the summer, and could be set to return to the $80,000 price level in the next few days. Alternatively, inflation in the US is still well over the Federal Reserve’s 2% target. If inflation does not cool, we may see a hike in interest rates. Higher rates may lead to investors pulling their funds from high-risk assets, such as Bitcoin (BTC). BTC could face a correction under such circumstances.
