Anthony Scaramucci advises investors to “remain disciplined” amid yet another cryptocurrency coupled with the dangers of high inflation.
Speaking with CNBC’s Squawk Box’s Andrew Ross Sorkin, crypto bull Anthony “The Mooch” Scaramucci offered some encouraging words to crypto investors today. While not reducing the traditional bearish sentiment that dominated cryptocurrency and general market headlines today, Scaramucci told CNBC anchor that he believes the cryptocurrency will recover from a “bloodbath” if market participants remain cautious. .
“I am encouraged by the fact that bitcoin is just above 50% of the total crypto market cap right now, which is another sign that there is a flight to quality… I would advise people to just be disciplined.”
Asked by Sorkin whether being disciplined meant buying, the Skybridge founder said the company has bought bitcoin and ethereum and has a private stake in FTX. “FTX is doing well. It’s gaining market share and is a profitable company.” Scaramucci said the company is prepared for any situation, including a further fall in prices.
further fall in crypto
It is unclear whether crypto participants will heed Scaramucci’s call for restraint during the turmoil. At the time of press, according to Coingecko, the crypto market cap is $1.04 trillion. Bitcoin is down almost 15% over the past 24 hours to fall below $24,000 and Ethereum is down 18% below $1,200 as many investors fear a bearish pullback from crypto investments.
Stocks are also falling. The S&P 500 slipped into a bear market at the start of the week, while the Dow Jones Industrial Average is down 13.6% since early 2022. Microstrategy, the largest corporate holder of bitcoin, saw its shares drop 23%, while Coinbase’s share price dropped 10%.
Celsius Spooks Market
Adding to the mix, Hoboken, NJ-based crypto lender Celsius Network halted withdrawals, swaps and transfers between accounts earlier today, citing unfavorable market conditions, sparking liquidity concerns. Liquidity is important in Celsius’ case because, according to the company’s website, the company offers a relatively high annual percentage yield (similar to interest in a traditional bank) of up to 17% on deposits. Investors fear that a longer halving could further impact the crypto market.
The TerraUSD coin fell a little over a month ago, before TerraForm Labs offered investors high percentage yields of up to 20%, the effects of which are still being felt.