Jim Cramer has bought back into Ethereum after selling almost all of his Bitcoin earlier in the year. Cramer had cited the reason for the sale was due to the ongoing China crackdown. He said the crackdown was going to drive down the price of the coin even more. This is what led him to dump most of his Bitcoins. The proceeds of which he used to pay off his mortgage.
Related Reading | Why Ethereum Price Could Pass Bitcoin Sooner Than We Think
The Mad Money host had said he would buy back into crypto when Bitcoin was down to $10K. Obviously, this has not happened yet. It seems Cramer has revised his decision to wait for the coin to crash. But instead of buying back into Bitcoin, Cramer bought Ethereum.
Jim Cramer gave reasons for buying into Ethereum instead.
Ethereum Is A Currency
Elaborating on the reasons for buying it, Cramer said it was because Ethereum was more like a currency. According to Cramer, he had earlier trimmed down his holdings in Ethereum when the coin hit a new record high. But now has started to buy back into the coin.
Ethereum down 50% from ATH | Source: ETHUSD on TradingView.com
Cramer is convinced of Ethereum’s use as a currency. “I like Ethereum because people actually use it much more to be able to buy things,” said Jim Cramer. “I’m going to continue to buy Ethereum.”
The host further spoke about Ethereum’s use as a currency in the sale of NFTs.
Related Reading | Is It Time To Sell Your Bitcoin? Jim Cramer Says It Is
“I think it’s got a little more game. Because when you go buy an NFT or anything like that, everybody wants it in Ethereum.” – Jim Cramer, Host on Mad Money.
Bitcoin Rebounds Above $30K
Cramer had previously disclosed that his plan was to buy back into Bitcoin. But it seems that things have not gone the way he planned.
Expecting Bitcoin to crash, he had sold off almost all of his Bitcoin. Bitcoin had crashed below the $30K level last week. But had then made a recovery in a matter of hours. Going back up over $30K and sitting comfortably.
According to Cramer, he had bought Ethereum because Bitcoin held at $30K.
Bitcoin rebounds after price drop | Source: BTCUSD on TradingView.com
It would seem that Jim Cramer had been waiting for a crash. One he had expected would happen sooner or later for Bitcoin.
But Bitcoin has so far held its own in the market. It still remains the number 1 coin in the market by market capitalization. Support for the coin has slowly built back up. Helping the coin hold its crucial resistance point of $30K.
Ethereum is currently down more than 50% its record high. Currently trading at a little over $2,000. This makes it a good time to get into the coin.
Featured image from Talk Business, chart from TradingView.com