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Bitcoin’s valuation is “ridiculous,” according to “The Big Short” investor Michael Burry, who predicted the 2008 housing market crash years in advance.
“I think that Bitcoin at $100,000 is the most ridiculous thing,” Burry told author Michael Lewis in an episode of the podcast “Against The Rules: The Big Short Companion” last week, adding that “it’s not worth anything.”
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“It’s the tulip bulb of our time,” he continued, comparing the asset to the 17th-century tulip mania in the Netherlands. “It’s worse than a tulip bulb because this has enabled so much criminal activity.”
It is not the first time Burry has taken a swipe at the largest cryptocurrency by market capitalization. Amid the asset’s run-up in 2021, he said it was “a speculative bubble,” warning that the risks outweighed any potential opportunities. It did kick off a multiyear downturn the following year, but is also up nearly 100% since.
Burry’s most recent remarks on Bitcoin come as he has grabbed headlines for short positions on Nvidia (NASDAQ:NVDA) and Palantir (NASDAQ:PLTR) in recent weeks.
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Shedding light on the reasoning behind his Palantir short, Burry told Lewis last week on the “Against The Rules: The Big Short Companion” podcast that the company’s revenue was swallowed up by stock-based compensation for executives and staff.
More broadly, Burry said the AI market was in a bubble, similar to the dot-com bubble of the early 2000s, adding that it could burst in the next two years. He said historical data on similar bubbles suggested that the market tended to peak before capital expenditure maxed out.
Burry said people who have recorded significant gains should sell, adding that if he had to hold any stocks, it would be health care. “They’re really out of favor,” he said.
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Image: Midjourney
This article ‘Not Worth Anything’: Michael Burry Says Bitcoin Is The ‘Tulip Bulb Of Our Time’ originally appeared on Benzinga.com