Bitcoin up 38% since Jim Cramer said he sold his BTC

Bitcoin has staged a striking rally since the start of August. On 3 August, CNBC presenter Jim Cramer said he had sold his Bitcoin over concerns about quantum computers. BTC was trading at around $63.000 at the time. Less than two months later, Bitcoin stands at around $87.000, a rise of about 38%. For crypto traders, it is once again a reason to dust off the well-known “Inverse Cramer” meme.

Bitcoin climbs $24.000 after Cramer’s statement

Cramer announced on 3 August that he had disposed of his Bitcoin. His main reason was concern about the possible future effects of quantum computers on Bitcoin.

At the time of his statement, one Bitcoin cost about $63.000. In the 49 days that followed, the price rose by about $24.000 to $87.000.

That amounts to a gain of around 38%. Anyone who bought $10.000 of Bitcoin at the time of Cramer’s statement would, at the same percentage increase, now hold a position worth about $13.800.

It is not only the price that has moved sharply. Over the same period, Bitcoin’s total market value grew by about $475 billion, according to the figures provided.

The timing has therefore once again attracted a great deal of attention on social media. Not because Cramer’s statement caused the rise, but because of a meme that has circulated around the American television presenter for years.

The well-known Inverse Cramer meme returns

Jim Cramer presents the financial television programme Mad Money and is known for his outspoken views on stocks and other investments.

Over the years, an idea has taken hold online that investors should do the opposite of what Cramer says. That joke eventually grew into the phenomenon known as “Inverse Cramer”.

When Cramer turns very negative on an investment, traders joke that this is actually a buy signal. When he makes very positive comments, the opposite happens.

His decision to sell Bitcoin at around $63.000 now fits that narrative perfectly. After all, just 49 days later BTC is $24.000 higher.

Timing remains mostly a meme

The rise does not, of course, mean that Cramer’s statements are in fact a reliable contrarian trading indicator. The fact that Bitcoin has risen 38% since his sale does not prove a causal link.

The “Inverse Cramer” strategy remains mainly a popular internet joke about strikingly timed predictions and trading decisions.

Yet Bitcoin is once again providing plenty of material for the meme. Cramer sells at around $63.000 because of his concerns about quantum computers, after which Bitcoin climbs to about $87.000 in seven weeks.

For traders who follow the Inverse Cramer meme, the timing could hardly be better: Bitcoin has added about $475 billion in market value since his sale.