Paul Tudor Jones Reduces Bitcoin Bullishness
2022-10-10 18:50
BTC -1.37%
Omkar Godbole - CoinDesk
"I still have a little allocation to bitcoin," Paul Tudor Jones stated on CNBC on Monday.
Given Jones' bullishness two years ago, it wasn't exactly a roaring endorsement of the crypto. In mid-2020, the hedge fund titan stated that he had dedicated 1%-2% of his multibillion-dollar portfolio to bitcoin (BTC).
He then stated that if the Fed remained on its course of monetary debasement, he might imagine devoting up to 5% of his assets to bitcoin. His comments at the time boosted crypto values, which were already on the rise.
His tepid statements on digital assets today went unnoticed, with the price of bitcoin being stuck in the low-$19,000 range.
Of course, the Fed was in the midst of a slew of stimulus programs geared at keeping the economy and financial system afloat in 2020, in addition to the Covid lockdowns. Today, the US central bank is in the exact opposite posture, swiftly tightening monetary policy in order to combat the inflationary rise that it helped produce.
"Inflation is like toothpaste," Jones declared this morning. "Once it's out of the tube, it's difficult to get it back in." "The Fed is aggressively trying to wash that taste out of their mouth," he added. If we enter a recession, the effects will be disastrous.
While Jones believes bitcoin will retain its value, he believes cash is the way to go as long as the Fed can be relied on to keep its promise to return inflation to the 2% objective.
Post a Comment