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If the ‘Midas touch’ is the knack for everything you touch turning to gold, surely the opposite is the ‘Cramer effect’.

On January 2^nd, the analyst famous for his embarrassingly incorrect predictions – Jim Cramer gave his forecast for the 2024. And this time, the ‘Cramer effect’ came for Bitcoin.

“This thing, you can’t kill it… It’s a technological marvel and people have to start recognising that it’s here to stay,” said Cramer on CNBC’s Mad Money.

This was on the same day that Bitcoin broke through a key resistance level of $45,000 for the first time in nearly two years.

The Jim Cramer effect 

And, sure enough… on January 3^rd, less than 20 hours after Cramer’s prediction, Bitcoin’s price fell more than ten percent, from $44,961 to under $40,850 in the space of just a few hours.

Jim Cramer is legendary among stock traders for some of the most erroneous predictions in modern history. Here are just some of his greatest hits:

• “Bear Sterns is fine. Don’t move your money” (In 2008 just before the onset of the global financial crisis)
• “Hewlett Packard Enterprise is a sell” (In 2020 before the HP stock price climbed by over 100 percent)
• “I’m waiting for Bitcoin’s price to reach $10,000” (In June 2021, when Bitcoin was valued at over $28,000 and was on its way to its ATH of $64,995 in November 2021)

Did Jim Cramer just kill Bitcoin? 

Tempting as it may be to blame the ‘Mad Money’ host for this rather uncanny dip, there’s actually a more salient reason that all manner of cryptos (and yes, most of all Bitcoin) tanked today.

Respected asset management firm Matrixport released one of its regular ‘Matrix on Target’ market insights report today, titled ‘Why the SEC will REJECT Bitcoin Spot ETFs again’.

In the four hours following the Matrixport publication, nervous traders and investors initiated a selloff of BTC, which caused the crypto to drop a whopping $4,100.

Somewhat confusingly, Matrixport released another daily insight on the same day entitled ‘Bitcoin Spot ETF approval imminent, BTC to jump to $50,000’.

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