Jim Cramer Remains Bearish Despite BTC Rally, Here’s Why

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Bitcoin (BTC) is currently experiencing a bull run, rallying amidst chaos created by the collapse of several banks in the last few days. The coin rallied above the $26,000 level, a significant increase from the $20,00 level. 

However, the host of CNBC’s Mad Money, Jim Cramer, is still skeptical about Bitcoin’s price performance. BTC’s recovery is surrounded by controversy due to the volatile nature of cryptocurrencies. 

Jim Cramer Pessimistic On Bitcoin Performance

A popular CNBC host, Jim Cramer, is not impressed with Bitcoin’s current rally. He explained why he was bearish on Bitcoin, stating that its decentralized nature makes it challenging to regulate.

Cramer also labeled Bitcoin a “strange animal,” which he believes is under the influence of ‘Cindy Bank.’ This implies that large institutions and whales may be manipulating the cryptocurrency market to their favor. He also offered investment advice, stating he would sell his Bitcoin right into the rally. 

However, Will Clemente, Co-founder of Reflexivity Research, holds a different opinion. He believes that Bitcoin has enormous potential and that holding the tokens is the best strategy. He also stated that new BTC investors might have to scramble for what is left since long-term holders might not sell. Clemente believes that long-term holders possess 73% of the total BTC supply.

His assertions seem accurate since investors are accumulating BTC, leading to a price increase for the asset.

Notably, the U.S. authorities’ assurance of customers‘ deposits at the failed Silicon Valley and Signature banks contributed to the Bitcoin rally. Also, the collapse of these banks might result in a drop in the rate hikes by the Feds.

What’s Next For BTC?

Bitcoin has shown a remarkable recovery in the past few days. With the current uncertainty in the financial sector, investors might wonder what is next for the top cryptocurrency.

Jim Cramer Remains Bearish Despite BTC Rally, Here’s Why

Bitcoin is trading at the $25,000 price level, a significant increase of over 10% in the last few days. It has moved above its 50-day Simple Moving Average (SMA), a bullish signal. 

Also, it bounced off the 200-day SMA that acted as a support level for its current price rally. Trading above the 200-day SMA indicates that BTC has a bullish outlook for the long term.

BTC has formed its fourth consecutive green candle today, confirming the uptrend. The Relative Strength Index (RSI) indicator is at 61.54 and rising as it approaches the overbought region of 70. It confirms that the bulls are in control of the market.

Featured image from Pixabay and chart from Tradingview

Source: NewsBTC

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