On Monday, Mad Money anchor Jim Cramer advised investors on gold and cryptocurrency. Cramer, a former hedge fund manager, co-founded the financial news and education website Thestreet.com.
Despite bitcoin’s recent increases, he recommends avoiding cryptocurrencies. Cramer told investors, “Ignore the crypto cheerleaders now that bitcoin is bouncing,” using charts from Carley Garner, the senior commodity strategist and options trader at Decarley Trading. He advised:
“If you seriously want a real hedge against inflation or economic chaos, she [Garner] says you should stick with gold. And I agree.”
Concerning Garner, the host of Mad Money showed how daily charts from March 2021 to the present show a strong connection between bitcoin futures and the tech-heavy Nasdaq-100. As a result, bitcoin is more of a volatile investment than a safe currency.
The host of Mad Money used to own bitcoin, ether, and NFTs, but he sold all of them last year. Previously, he advocated for bitcoin alongside gold. He made this statement in March of 2021: “I have, for years, said that you should have gold… but gold failed me down. Gold’s volatility is excessive. There are problems with mining the area. To tell the truth, it’s likely to fail in many situations.” He has also warned investors many times to stay away from the cryptocurrency market because the U.S. Securities and Exchange Commission (SEC) might “round up” crypto businesses that don’t follow the rules.
