'Big Short' Michael Burry says Bitcoin worse than tulip bubble
Famed short-seller warns that digital assets pose greater risks than past speculative bubbles and fuel illicit activities in financial markets.
Key Takeaways
- Michael Burry compared Bitcoin to the historical tulip bubble, calling it overvalued and hype-driven.
- Burry warned that Bitcoin poses greater risks than opportunities and enables criminal activity.
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Investor Michael Burry, best known for predicting the 2008 financial crisis, criticized Bitcoin on a podcast, comparing it to the historical tulip bubble and expressing skepticism about its valuation and utility.
“It’s not worth anything. Everybody’s accepted it. It’s the tulip bulb of our time,” Burry said. “It’s worse than a tulip bulb, because this has enabled so much criminal activity to go deep under.”
The hedge fund manager, who has recently made headlines for placing bearish bets against Nvidia (NVDA) and Palantir (PLTR), called the fact that Bitcoin reached $100,000 is “the most ridiculous thing.”
“That same people are sitting on TV talking about Bitcoin. They’re just casually, it’s $100,000, it’s down, now it’s $98,000,” he said.
Despite dropping below $84,000 on Monday, Bitcoin reclaimed $90,000 after the US market opening. The digital asset was trading at around $90,600 at press time, up nearly 7% in the last 24 hours.
It’s not the first time Michael Burry has criticized Bitcoin. In early 2021, he called it a “speculative bubble” comparable to the dot-com and housing bubbles, despite its growing relevance and popularity.
Bitcoin has more than doubled in value since then.
