CNBC host Jim Cramer has advised a viewer to buy Bitcoin, just weeks after publicly stating that he liquidated his own cryptocurrency holdings. The reversal has once again drawn attention to the contrarian trading theory known as "Inverse Cramer."
The July Sale and Quantum Concerns
Cramer's initial exit followed a July 31 interview on Mad Money with IBM Chairman and CEO Arvind Krishna. During the segment, Krishna discussed the timeline for quantum computing, warning that future quantum systems could potentially crack the cryptography protecting Bitcoin and suggesting investors become paranoid about the timeline within three to four years.
Following the interview, Cramer announced on air that he would sell his Bitcoin. No official filings, wallet addresses, or position sizes have confirmed whether the trade actually took place.
Contradictory Advice to Viewers
During a subsequent episode, a caller named Sanjay asked Cramer about Bitmine Immersion Technologies, an Ethereum treasury stock. Cramer advised the caller to skip the derivative play entirely and purchase Bitcoin directly instead, cautioning that crypto-linked derivatives carry too much risk.
The recommendation contrasted with Cramer's own stated exit from the asset weeks prior. Historically, Cramer's shifting stances have inspired the "Inverse Cramer" concept among traders who treat his media commentary as a contrarian indicator.
Market Movement Following the Statements
At the time of Cramer's original sell announcement, Bitcoin traded near $63,700. Since then, the asset has climbed, touching an intraday high of $75,500 and trading near $74,300.
Whether Cramer actually executed a sale, holds any remaining assets, or has repurchased Bitcoin remains unverified.
