Crypto market turns bullish, but Jim Cramer advises crypto investors to make their exit
The digital currency ecosystem is experiencing a very positive growth run, and despite this ongoing bullish sentiment, popular market analyst Jim Cramer has advised investors to get out of their investments now. Taking to his Twitter handle, Cramer said the duo of crypto and Chinese stocks are not to be trusted.
“Good chance AGAIN to get out of crypto and scale out of Chinese stocks as neither can be trusted,” he said.
The combined crypto market cap grew by 3.55% to $853.94 billion, riding on the 2% growth of Bitcoin (BTC) to maintain its traction above $17,000. With almost all of the altcoins in the top 100 by market cap recording impressive growth over the past 24 hours, there is a good setup for short-term investors to exit their stake at a fair profit.
Jim Cramer was once an advocate of cryptocurrencies, especially Ethereum, but over the past few months, he has backflipped and has joined the growing number of critics of the nascent asset class. Toward the end of last year and into this new year, Cramer has maintained his bearish projections for digital currencies and the latest call on crypto holders to sell off their assets shows his resolve to wean more people off their cryptocurrency thirst.
HODLers might remain adamant
Many people in crypto today made their first investments months or even years ago. Using Bitcoin as an example, a very good number of people must have bought the coin before the price plunged below the psychologically important level of $20,000.
As a mantra to stay in and reap the benefits, many buyers are encouraged to HODL their coins — that is, to keep holding until the prices return to favorable levels. With Bitcoin is still down by more than 58% over the past year, chances are that many buyers will not be heeding Cramer’s counsel to sell now.