CNBC’s Jim Cramer has shared his Bitcoin story on Squawk this week. According to the Mad Money host, he cleared his mortgage obligations by selling half of his investment in Bitcoin.
Selling Bitcoin To Pay Mortgage
Cramer, who has made a reputation as an unconventional stock analyst, said that he is likely the only natural seller from the BTC chart as Bitcoin’s price gallops to a new ATH.
“It was like, kind of, phony money paying for real money,” Cramer said. “I now own a house- lock, stock, and barrel- because I bought this currency. I think I won!” he added.
He also said that he bought a sizable chunk of his Bitcoin holdings when it was trading at $12,000. At press time, the premier digital asset by market cap trades in the $60,000 mark.
The American television personality has been a vocal supporter of Bitcoin and was once quoted as saying it would be “almost irresponsible” for Bitcoin not to feature in an investor’s portfolio.
In March, he said he made more from trading cryptocurrencies like Bitcoin than he did in holding gold, pointing to the growing belief that BTC could be more valuable as a store of value than the bullion metal.
Bitcoin has grown in the past eight years thanks to increased demand from institutional investors.
Bitcoin has risen from a mere $500 in 2013 to over $60,000 in a few short years.
And the sentiments are bullish, as shown by Coinbase’s listing on Nasdaq this week. The world’s oldest virtual currency surged as high as $64, 829 pre-trade but dropped significantly as trading on the crypto exchange began.
In a previous comment on Mad Money, Cramer enjoined crypto investors to sell off some of their crypto holdings. He said he was worried about how few BTC sellers there are in the market. This hodling behavior is putting much pressure on the rest of the market, which could affect their long-term performance.
He further admonished crypto investors to learn when to reduce their exposure to the volatile asset.
Cryptocurrencies To The Moon
Cryptocurrencies have continued to grow in 2021 despite the negative impact of the pandemic-induced lockdowns. Some digital assets like Bitcoin have made astronomical highs as much as 300% since the beginning of the year.
Other lesser-known crypto assets like XRP, Ethereum, LINK, MXR, and others have also seen significant growth, with some posting over a thousand percent increase in Q1 2021.
Projects like decentralized finance and non-fungible tokens are also a hot topic in the crypto universe. In less than a year, both crypto projects have posted returns upwards of billions of dollars. With the crypto industry still in its infantile stage, industry experts project more growth for the industry.