CNBC’s Jim Cramer said on Tuesday that he owns a bitcoin and sees it as one of several investment options instead of parking large amounts of cash in cash, which in the current low-interest environment yields basically zero.
“I own bitcoin. I have owned it for some time,” said Cramer in “Squawk Box”. “It is an alternative to the cash position, where you get absolutely nothing.”
“To have a pastiche of things you should use your money with, I am totally in favor. I think it is almost irresponsible not to include” bitcoin, “added Cramer, saying he also sees bitcoin, like gold, as a store of value. and protection against inflation.
The presenter of “Mad Money” spoke about his personal views on bitcoin in reacting to Tesla’s revelation on Monday that the electric carmaker invested $ 1.5 billion in bitcoin and plans to accept it as a payment method.
Bitcoin on Tuesday hit a high of more than $ 48,000 before adding some of those gains, as the purchase continued a day after Elon Musk’s Tesla announced its investment, the latest evidence of institutional interest in the largest cryptocurrency in the world. world.
“Bitcoin is exciting,” said Cramer. But he warned investors that it would be a good idea to hedge positions in digital currency because it is very volatile and there are not many sellers at the moment.
Cramer called bitcoin “a little inflated”, but pointed out that “many people say it can reach $ 100,000”.
One of those crypto investors who believes bitcoin can reach these levels by the end of the year is Galaxy Digital founder Michael Novogratz, former Fortress hedge fund manager.