- A billionaire investor with over $135 billion in assets under management has claimed that Bitcoin is headed to $23,000 and the dollar is doomed.
- The investor revealed he doesn’t own Bitcoin and has never invested, as he doesn’t have the risk tolerance needed to invest in the crypto.
One of Wall Street’s leading investors is bearish on Bitcoin, predicting that the leading cryptocurrency is going to crush even further in the short term. Jeffrey Gundlach, better known as the Bond King, foresees BTC crashing to $23,000 and urged traders to wait for the crash before investing in the cryptocurrency. The Wall Street veteran is even more bearish on the U.S dollar which he believes is doomed.
Bitcoin’s relationship with institutional investors has been rather checkered. On its way up, they piled in, from JPMorgan making ambitious price targets to giants like Ruffer Investments in the U.K buying tens of millions worth of the crypto. However, as it slid down, Ruffer sold its stash (making $1.1 billion in the process) and JPMorgan has been predicting a further price slide.
Gundlach is one of those that never really converted to Bitcoin, even when it was on its way up. Speaking in an interview on CNBC, the 61-year-old stated:
I think it’s only a trading vehicle. I’ve never been long bitcoin personally. I’ve never been short Bitcoin. It’s just not for me. I don’t have that kind of risk tolerance in my DNA where I have to get worried to pull up the quote every day to see if it’s down 20%.
Bitcoin to $23,000
Gundlach, who became referred to as the Bond King back in 2011, founded Doubline Capital in 2009, after he was fired from his vastly successful stint at TCW Capital. Doubleline, which is based in Los Angeles, now manages $135 billion in assets, focusing on mutual funds, private funds, active ETFs and more.
The billionaire, however, isn’t too fond of crypto. And even if he wanted to buy BTC, he believes that he may be a bit too late as the price is already too high.
But I would not own Bitcoin presently. I think you had an opportunity to buy it at a cheaper level.
Gundlach further cautioned investors against putting their money in Bitcoin, stating that he believes it will slide down further.
The chart on bitcoin looks pretty scary….I have a feeling you’re going to be able to buy it below 23,000 again. Bitcoin has really lost its steam.
The investing guru is not optimistic about his future outlook of the U.S dollar either. “I don’t want to be overly dramatic, but I think the dollar-I will use the word ‘doomed’ in the long term,” he told CNBC.