Legendary Investor Declares Now Is The Time To Buy Bitcoin: Here’s Why
October 11 2023 - 2:13AM
NEWSBTC
In a recent interview with CNBC, billionaire hedge fund manager and
legendary investor Paul Tudor Jones expounded on his bullish stance
on Bitcoin amidst mounting global tensions and economic
uncertainties. Jones, an influential figure in the investment
world, highlighted the current geopolitical environment as one of
the most “threatening and challenging” he has ever witnessed and
emphasized the importance of diversifying investment portfolios
with assets like Bitcoin and gold. Jones told CNBC, “I love gold
and bitcoin together. I think they probably take on a larger
percentage of your portfolio than they would [historically] because
we’re going to go through both a challenging political time here in
the United States and we’ve obviously got a geopolitical
situation.” Now Is The Time To Buy Bitcoin And Gold Recent global
events have exacerbated these sentiments. Over the weekend, the
Israeli government launched a military response against Hamas
following an attack on Israel, escalating tensions in an already
fragile Middle Eastern region. Additionally, Russia’s recent
invasion of Ukraine and growing discord between China and the US
have further rattled global markets and economies. Related Reading:
Bitcoin Dominates 2023: Surges Past Stocks And Bonds With 63% YTD
Growth In the same breath, Jones remarked on the US’s alarming
fiscal position, stating it’s “probably in its weakest fiscal
position since World War II.” Responding to concerns about the
potential impact of high interest rates on Bitcoin, Jones delved
deeper into the dynamics of gold and market trades preceding a
recession. He stipulated, “I think on a relative basis what’s
happened to gold, it has been clearly suppressed. But you know that
more likely or not we are going into a recession.” Jones
underscored a few hallmarks of recessionary trading environments,
indicating, “There are some pretty clear recession trades. The
easiest are: the yield curve gets very steep, home premium goes
into the backend of the debt market and the 10-year, 30-year,
7-year paper, the stock market typically right before recession
declines about 12%.” This decline, according to Jones, is not just
plausible but likely to transpire at a certain juncture.
Additionally, he emphasized the prospective bullish market for
assets like Bitcoin and gold during economic downturns, stating,
“And when you look at the big shorts in gold, more likely or not in
a recession, the market is typically very long; assets like Bitcoin
and gold.” Related Reading: Bitcoin And Crypto Poised To Skyrocket
As Endgame Of US Policy Nears: Analyst Jones further prognosticated
a substantial influx into the gold market, speculating, “So there’s
probably $40 billion worth of buying coming in gold at some point
before now and when that recession actually occurs.” Expressing his
asset preference amidst the aforementioned conditions, Jones
concisely noted, “So, I like Bitcoin and I like gold right now.”
Jones’s endorsement of Bitcoin isn’t new as the investor had
previously championed the digital currency in several interviews,
citing its potential as a hedge against inflation and lauding its
immutable mathematical properties. He once remarked, “Bitcoin is
math, and math has been around for thousands of years.” By
mid-2021, Jones even increased his Bitcoin allocation from 1-2%,
labeling it as a “bet on certainty amid uncertain economic
conditions.” Jones’s remarks came at a time when the cryptocurrency
saw an approximate 63% increase year to date, making it the
best-performing asset in 2023. At press time, Bitcoin was trading
at $27,116, down roughly 2% over the past 24 hours. Amidst the
recent price drop, BTC initially found support at the 200-day EMA
(blue line), which the bulls should hold at all costs to avoid
further downward momentum. Featured image from iStock, chart from
TradingView.com
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