Hedge support manager Michael Burry, famed for forecasting the 2008 financial crisis, has confirmed that he has not been shorting cryptocurrencies, involving bitcoin, despite speculations that he may have. His confirmation came after he recently asked how to short crypto.
Michael Burry Says He Is Not Slight Cryptocurrencies
Famous investor and founder of private investment firm Scion Asset Management, Michael Burry, ratified to CNBC Friday that he has not been shorting bitcoin or other cryptocurrencies.
Burry is best known for being the first place investor to foresee and profit from the U.S. subprime mortgage crisis that occurred between 2007 and 2010. He is profiled in “The Big Insufficient briefly,” a book by Michael Lewis about the mortgage crisis, which was made into a movie starring Christian Bale.
He portrayed CNBC Friday:
I’ve not been shorting cryptocurrencies at all. And I’m not now … I believe that cryptocurrencies are in a bubble and that most in it do not understand it probably.
Many people in the crypto community believed that Burry shorted bitcoin when the price of the cryptocurrency was $30K after he circulated a BTC price chart suggesting that it would be a good time to short. Burry never confirmed or denied whether he shorted bitcoin until now.
The crypto community developed even more convinced that Burry was shorting bitcoin or was considering doing so when he tweeted Wednesday:
Ok, I haven’t done this earlier, how do you short a cryptocurrency? Do you have to secure a borrow? Is there a short rebate? Can the position be squeezed and called in? In such tense situations, I tend to think it’s best not to short, but I’m thinking out loud here.
When Burry tweeted asking far shorting cryptocurrencies Wednesday, the price of bitcoin was around $58K. It then shot up past $62K. At the time of longhand, the price of BTC is $61,011 based on data from Bitcoin.com Markets.
Opinions flooded Twitter in response to his tweet about shorting cryptocurrencies with many people mocking his knowledge of crypto. Burry publishing blue-penciled the tweet about five minutes after posting it. While the Big Short investor routinely deleted his tweets, it was not commonly minutes after posting them. He then deleted his entire Twitter account Friday, causing some people to suspected that he quit Twitter because of the responses he got from his crypto tweet.
Trader Scott Melker, aka “The Wolf of All Streets,” commented: “Let me get this honest. Michael Burry of ‘Big Short’ fame asked how to short bitcoin, was destroyed by crypto Twitter and then rage take off Twitter entirely because he couldn’t deal with the responses?”
Burry also recently criticized the shiba inu (SHIB) slight after the price of the coin soared 230%.
What do you think about Michael Burry’s comments? Let us know in the comments sample below.
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