Mad Money Host Jim Cramer Predicts Start of Bitcoin Selloff

Renowned CNBC Mad Money show host, Jim Cramer, has issued a warning regarding a potential selloff in Bitcoin. While advising caution to investors interested in Bitcoin and the recently launched spot Bitcoin exchange-traded funds (ETFs), Cramer stated, "I don't hold the same strong opposition to these new investment vehicles as Gary Gensler does… Bitcoin has been in existence for 15 years, it is relatively well-established, and I don't want to prevent anyone from speculating in this asset, as long as they conduct their research."

Jim Cramer's Bitcoin Price Outlook

This week, Jim Cramer, the host of Mad Money, shared his insights on the future price of Bitcoin, with a particular focus on how the approval of spot Bitcoin ETFs by the U.S. Securities and Exchange Commission (SEC) could impact its trajectory. Cramer, a former hedge fund manager and co-founder of, a financial news and literacy website, is closely monitoring the developments in the cryptocurrency market.

The price of Bitcoin experienced a surge above $47,000 in anticipation of the SEC's approval of spot Bitcoin ETFs. However, it subsequently dropped to a low of nearly $40,000 on Friday following the approval. At the time of writing, Bitcoin has slightly recovered and is currently trading at $41,589. Discussing the decline in Bitcoin's price, Cramer posted the following on the social media platform, X, on Thursday:

"Nasty beginning to the Bitcoin selloff."

Cramer added, "Someone will likely attempt to stabilize the price here, but as we mentioned last night, you can't expect an asset to double in value by hundreds of billions of dollars in anticipation of an ETF and then witness minimal participation." In a subsequent post on Friday, he further commented, "It was expected that there would be a resistance level for Bitcoin here. Let them try to maintain it for a couple of days."

Several individuals challenged Cramer's statement, arguing that the launch of spot Bitcoin ETFs was far from being a failure. One person wrote, "It was the most successful ETF launch in history." Others highlighted that Bitcoin ETFs had already surpassed silver to become the second-largest commodity ETF, with significant inflows within just a few days.

Many users of X view Cramer's bearish statements as a bullish indicator for Bitcoin's price. The "Cramer effect" has become a popular meme in the crypto industry, with many observing that Bitcoin often moves in the opposite direction to Cramer's predictions. If he is bullish, a bearish swing can be expected, and vice versa.

While maintaining his skepticism, Cramer stated on Wednesday that he is not categorically against investing in Bitcoin. The Mad Money host referred to Jamie Dimon, CEO of JPMorgan Chase, who recently stated that he won't dictate people's investment choices but personally advises staying away from Bitcoin.

Cramer described the situation as "caveat emptor," drawing inspiration from Dimon's stance. He highlighted, "You can make your own decision regarding spot Bitcoin ETPs [exchange-traded products]. I merely want to ensure that you are aware of what exactly you are investing in and how little money went into these funds compared to the significant increase in the price of Bitcoin."

Referring to SEC Chair Gary Gensler's statement that the approval of spot Bitcoin ETFs does not indicate an endorsement of Bitcoin, Cramer emphasized, "I don't hold the same strong opposition to these new investment vehicles as Gary Gensler does… Bitcoin has been in existence for 15 years, it is relatively well-established, and I don't want to prevent anyone from speculating in this asset, as long as they conduct their research. Of course, I'm not entirely certain what kind of research would be necessary, but that's not my concern."

Last week, Cramer mentioned that Bitcoin is reaching its peak. The week before, he expressed his belief that Bitcoin cannot be eliminated and described it as a "technological marvel" that is here to stay.

What are your thoughts on Jim Cramer's advice and warnings regarding Bitcoin? Share your opinions in the comments section below.

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What precious metals could you invest in to retire?

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  • Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (
  • If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (
  • Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (
  • Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (
  • (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (

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How To

Guidelines for Gold Roth IRA

The best way to invest for retirement is by starting early. Start saving as soon and as often as you're eligible (usually around 50 years old) and keep going until retirement. To ensure sufficient growth, it is vital that you contribute enough each year.

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Save regularly and continue to save over time. You'll miss out on any potential tax benefits if you're not contributing the maximum amount allowed.


By: Kevin Helms
Title: Mad Money Host Jim Cramer Predicts Start of Bitcoin Selloff
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Published Date: Sun, 21 Jan 2024 01:00:08 +0000

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