CNBC’s ‘Mad Money’ host Jim Cramer is known for all the wrong reasons in the crypto sphere. The anchor is popular for consistently giving out wrong predictions and several investors do the opposite of what he conveys. On Thursday, Cramer was seen shedding tears on his show and issued a public apology for being wrong about Meta (Facebook) stocks. While the stock market community is seeing his wrong predictions now, the crypto community called him out in 2020.
Cramer’s financial advice is dubbed the “Inverse Cramer ETF” suggesting that the markets will go in the opposite direction after his predictions. There have been a few incidences where investors counter-traded Cramer’s predictions and made money.
Here’s how top crypto and financial figures react to Cramer’s predictions:
Bloomberg analyst Eric Balchunas called out Jim Cramer for his erratic predictions in June this year. Cramer had called cryptos “no real value” back then.
Dogecoin co-founder Billy Markus had urged Cramer to stop giving price predictions in June 2022.
Journalism professor Alan Deutschman had described Cramer’s investment style as “chameleon-like and erratic.”
Also Read: Whales Buy Shiba Inu After Jim Cramer Warns to Avoid it on National Television
3 Wrong Predictions of Jim Cramer In A Years Time
1. Facebook (Meta)
Cramer was an advocate of Meta stocks and pushed it regularly on his Mad Money segment. Meta plummeted nearly 25% on Thursday and was down 31.88 points. The stock slipped below the $100 mark and is now trading at $97.94.
Meta’s price was more than $200 when Cramer advocated it on his show early this year. He previously called Mark Zuckerberg “simply unstoppable” and touted the Metaverse as “a cool place to go”.
Now both Meta stocks and the Metaverse are down dramatically in value staying true to the “Inverse Cramer ETF”. “Let me say this, I made a mistake here. I was wrong,” said Cramer while shedding tears and apologizing for his predictions.
Also Read: Jim Cramer Challenges Crypto Investors to Bet Against Him: ‘I Have Done This for 42 Years’
2. Coinbase
In July 2022, Cramer warned of a possible probe into Coinbase by the SEC for indulging in internal trading. While the internal trading allegations are true, his price prediction for Coinbase stocks went wrong. The host started his segment with “very bad news” and predicted that Coinbase shares would tank.
Surprisingly, the “Inverse Cramer ETF” got into work and Coinbase shares spiked 50% a week after his prediction. Crypto trader Algod revealed that he did the exact opposite of what Cramer predicted and made money with Coinbase stock.
Also Read: Why Are the Crypto Markets Rallying Today?
3. Bitcoin
Jim Cramer purchased Bitcoin in 2020 for $12,000 and sold 50% of it after it reached a high of $64,000 in 2021. He announced that he used the profits to “pay off a mortgage”. In June 2021 when the crypto markets crashed, Cramer advised investors to be “patient” and predicted that a spike in price is on the cards.
However, the markets remained on the back foot for 10 consecutive days and Cramer could not take the decline anymore. He famously predicted that Bitcoin is “not going up because of structural reasons”. He also said, I “sold all my Bitcoin. Don’t need it”.
Just months later, Bitcoin had a phenomenal rally and reached its all-time high of $69,044 in November 2021.
Also Read: What is Bitcoin & Why Does It Even Exist? Explained