He did so during an interview with TheStreet, which aired live on December 11.
Cramer stated that he purchased bitcoin at $17,000, which he believes is a good purchase price.
He had announced earlier that day on Twitter that he intended to buy bitcoin, probably to take advantage of the very price drop that occurred between December 8 and 11, and the purchase at $17,000 has proven to be a good one for now, as the price has risen back above $18,000 since the next day.
Although Cramer has been very skeptical about Financial Peak in the past, he had changed his opinion in the last few months, also thanks to Anthony Pompliano’s suggestions.
During the interview he also stated that he will continue to buy, especially when the price drops, as he usually does.
Why Jim Cramer bought Bitcoin
The reason that prompted him to buy bitcoin is diversification, since Cramer already owns gold, but he still revealed that the position he opened on BTC is not „big.“
In other words, he decided to add a small exposure in BTC to his diversified portfolio, in addition to his presumably larger exposure in gold.
Cramer also stated that he thinks it’s possible that the price of bitcoin could still fall, and that he bought it because it has fallen appreciably from the highs. At this point, given that he seems intent on investing 1% of his assets in BTC, it’s safe to imagine that he might buy more, should the price sendesseo again.
The year 2020 marked a sort of „conversion“ on the part of many traders in traditional finance, in terms of their opinion of Bitcoin.
Until last year, there were many players in the financial world who were very skeptical about the future of the value of the world’s most important cryptocurrency, but perhaps thanks to the reaction that the price of bitcoin had to the collapse of global financial markets in March, they have changed their minds. The rest was done by the return to all-time highs, which definitively proved that the 2017 one was not a bubble burst due to lack of adequate fundamentals.